Adani Enterprises’ debut issuance of non-convertible debentures (NCDs) has been a major hit, with bids totaling Rs 716 crore on the first day alone. This amount exceeds the initial base issue size of Rs 400 crore. The bond issue, open for two weeks, was oversubscribed by 1.8 times.
Rated CARE A+ (Positive) by CARE Ratings Ltd., the NCDs offer annual yields of up to 9.9% across eight different series, with tenors ranging from two to five years. Launched on Wednesday, the issue is set to close on September 17 but includes an option to raise an additional Rs 400 crore, potentially increasing the total to Rs 800 crore.
More than 8,500 applications were received on the first day, with all investor categories—corporate, high-net-worth individuals (HNIs), and retail—being nearly doubled in subscriptions. Given the high demand and the first-come, first-served allotment process, the issue might close before September 17.
The bonds come with various payment structures, such as annual, cumulative, and quarterly options. The highest yield of 9.9% is available on the 5-year bonds, with shorter tenors offering yields between 9.25% and 9.65%.
These secured NCDs have a security cover of 1.1 times and do not include put or call options. The issue is being managed by Trust Group, AK Capital, and Nuvama Wealth Management.
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