While Axis Bank sells Tier 1 paper with sustainable or ESG tag, Adani Green mops up funds for capital investments. Axis Bank and Adani Green Energy (AGEL) have together launched their overseas bond sales on Wednesday, seeking to collectively gather up to 1.5bn dollars.
Axis Bank has set initial price guidance of 4.4 percent for the bonds while Adani Green was offering three-year securities with initial price guidance of 47%. Both pricings are likely to be tighter by 20 basic points as per the executives.
The bond offering for Axis Bank will be managed by J.P. Morgan, HSBC, BNP Paribas, BofA Securities. The bank will use the proceeds towards eligible green project categories and eligible social project categories set out in the insurer’s sustainable financing framework as per the Axis Bank form sheet. While the proceeds of Adani Green will be used for onward lending to issuer’s subsidiaries for capital expenditure requirements to fund the development of
utility green projects.
Axis Bank decided to retain 600mn dollars out of an estimated 23 billion sub riparian bids until the publication, while Adani Group raised 750mn dollars out of total bigs estimated at 5bn dollars.
On August 3, Axis Bank reportedly was planning to raise up to lbn dollars via offshore ATT bonds which is also known as perpetual papers. .