Home / Business and Economy / Adani Power Secures ₹7,500 Cr Amid Market Sell-off
Adani Power Secures ₹7,500 Cr Amid Market Sell-off
23 Jan
Summary
- Adani Power raised ₹7,500 crore from 15 domestic investors via NCDs.
- Funds will be used for refinancing debt and general corporate purposes.
- Adani Power's net debt-to-EBITDA is 1.6x, significantly lower than peers.
Adani Power has secured Rs 7,500 crore through non-convertible debentures, with 15 domestic institutional investors participating in the fundraising. This capital infusion is intended to refinance existing borrowings and support general corporate purposes.
Despite a recent sharp decline in Adani Group stocks, investors have expressed confidence in Adani Power's fundamentals. The company operates 18 GW of thermal power capacity and aims to expand to 42 GW by FY32. Its integrated business model and a conservative balance sheet, evidenced by a net debt-to-EBITDA ratio of approximately 1.6x, have driven investor demand.
Analysts project Adani Power's operating profit to more than triple in the next five years, with EBITDA expected to grow substantially by FY30. Global rating agencies Moody's and Fitch have maintained a stable outlook on Adani entities, citing manageable near-term risks from ongoing US investigations.
