Adani Transmission, according to reliable media reports, is planning to raise $1.15 billion through overseas loans to finance its major projects in Maharashtra and Gujarat.
Reports further indicate that at least four banks — Standard Chartered, MUFG, Barclays and JPMorgan, are likely to syndicate the proposed loans.
The four projects are Western Region Strengthening Scheme (WRSS), Lakadia Banaskantha Transco (LBTL), Kharghar Vikhroli Transmission (KVTL) and the Mumbai HVDC project.
WRSS, LBTL and KVTL have a project completion deadline of August 2022. The total project cost is about $1.55 billion, with the HVDC project forming nearly one-third of that.
The spread will be finalised after factoring in project execution and refinancing risks of the lenders, who are cautious considering the economic cost of Covid-19, reports said.
It is further learnt that Adani Transmission Ltd is likely to refinance the loan after 12-15 months through long-term overseas bonds.
While the first three projects will be fully financed through the proposed overseas loans, the fourth project (Mumbai HVDC) will be partly-financed.
Source: The Economic Times