On Monday, Adani Airport Holdings Ltd (AAHL) announced that it raised $250 million from a syndicate. The consortium of Standard Charted Bank (SCB) and Barclays Bank PLC was possible through a three-year ECB facility. In addition to this, the facility has the power to raise an additional $200 million.
According to the company’s release, AAHL shall use the new capital expenditure to develop the six airports. The function of AAHl is to maintain and manage the airports across India. AAHL is significant because it consists of an eight airport network and controls half of the top 10 domestic routes.
The completion of the External Commercial Borrowings (ECB) transactions is the first step of the capital management plan of AAHL. It opens up the door to the public capital markets that consequently help yield long-term capital sources. These sources further help in infrastructural growth.
Recently, Adani Airport Holdings Ltd finished the financial closures of Mumbai International Airport Limited (MIAL) and Navi Mumbai International Airport Limited (NMIAL). The AAHL made a private placement of $2.74 billion to Apollo. The company said that the financial structure gives them easy access to flexible and scalable capital solutions.
According to a company spokesperson, “AAHL uses physical and digital channels to provide the customers with the best experience. With the funding of AAHL, MIAL, And NMIAL, our objective is to scale airport business globally.” In conclusion, the spokesperson expressed his gratitude to consumers and stakeholders for showing continued support.
