Adani Transmission has signed a purchase agreement with Credit Suisse AG, Singapore Branch for its Indian Rupee denominated Masala Bond of Rs 500 crore with coupon of 9.10 percent. Senior Secured Notes due 2021 payable in US Dollars to be issued and allotted through a private placement offer to investors outside India and the United States.
Rupee - denominated Bonds are instruments through which Indian entities can raise funds by accessing overseas capital markets, while the bond investors hold the currency risk. This is a rupee based transaction and there is no foreign exchange exposure for the company. The Notes will be listed on the Singapore Exchange Securities Trading (SGX). Moody’s Investors Service has assigned a provisional (P)Baa3 rating to the Notes.
The company will issue and sell the Notes on the closing date to the Purchaser (subject to the satisfaction or waiver of the conditions precedents as contained in the Purchase Agreement). The proceeds of notes will be utilized in accordance with the guidelines issued by the Reserve Bank of India.
