Adani Enterprises Ltd’s Rs 1,000 Crore NCD Issue Fully Subscribed In Only 3 Hours

Adani Enterprises Limited’s (AEL) second public issue of secured, rated, and listed redeemable non-convertible debentures (NCDs) worth ₹1,000 crore was fully subscribed within just three hours of opening on Wednesday. According to stock exchange data, the issue received bids worth over ₹1,400 crore by 3:30 PM.

The Adani Enterprises NCD offering, based on a first-come, first-served basis, attracted robust participation solely from the non-institutional segment, including retail investors, high net worth individuals (HNIs), and corporates.

Though initially scheduled to close on July 22, the issue may see early closure due to complete subscription. The base issue was ₹500 crore, with a green shoe option of an additional ₹500 crore, totalling ₹1,000 crore.

Market experts noted that strong investor response was driven by AEL’s sound credit profile and stable fundamentals. The NCDs, with a face value of ₹1,000 each, were available in a minimum application size of ₹10,000, requiring at least 10 NCDs per bid.

The NCDs offer attractive yields compared to similarly rated debt products and fixed deposits. They are proposed to be listed on both BSE and NSE and carry “Care AA-; Stable” and “(ICRA) AA- (Stable)” ratings.

Buyers had the option to choose from eight series with tenors of 24, 36, and 60 months, and interest payment options of quarterly, annual, or cumulative.

AEL plans to use at least 75% of the proceeds to repay or prepay existing debt. The remaining 25% will be allocated for general corporate purposes. The company’s previous NCD issue of ₹800 crore in September 2023 was also fully subscribed on day one.

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