Aditya Birla Renewables Raises Rs 2,500 Crore via NCDs
Aditya Birla Group’s renewable energy arm, Aditya Birla Renewables Limited (ABReL), has raised Rs 2,500 crore through non-convertible debentures (NCDs) via private placement, the company announced. The fundraising includes a base issue size of Rs 2,000 crore and a green shoe option for oversubscription of Rs 500 crore. The funds will be utilized to expand capacity, repay debt, and meet general corporate purposes.
ABReL, a subsidiary of Grasim Industries, has a cumulative installed capacity of 1 GW across 42 projects in 10 states. The company aims to double its capacity to 2 GW by the end of the year.
The company issued 2,50,000 rated, redeemable, non-cumulative NCDs, each with a face value of Rs 1 lakh, at an 8.6% annual coupon rate and a three-year tenure. The issue was oversubscribed, with interest from investors amounting to Rs 3,605 crore, including Rs 600 crore from anchor investors such as SBI Equity Hybrid Fund, Nippon India Mutual Fund, and Axis Liquid Fund. Axis Bank acted as the lead arranger for the issue, and the NCDs will be listed on the BSE.
ABReL is instrumental in supporting the Aditya Birla Group’s goal of achieving 'Net-Zero' emissions by 2050. Key businesses under the group, including Grasim, Ultratech, Hindalco, and Birla Carbon, are aligning with this target.
Grasim Industries’ stock closed at Rs 2,619.35 on the BSE, down 1.80%