Adani Ports and SEZ starts $130 million buyback of debt securities

Biznextindia : Gautam Adani-led Adani Ports & Special Economic Zones (APSEZ) on Monday announced the launch of a debt securities buyback program aimed at partially repaying its near-term debt maturities and demonstrating the company’s comfortable liquidity position. As part of this initiative, APSEZ has initiated a cash tender offer for up to $130 million in aggregate principal amount of its outstanding 3.375% senior notes due in 2024.

“After the successful completion of this Tender Offer, the Company expects US$520,000,000 Notes to remain outstanding (“Outstanding Notes”). Post this Tender Offer the Company intends to offer to purchase for cash approximately US$130,000,000 of the Outstanding Notes in each of the next four quarters. The Company may choose to either accelerate or defer this plan subject its own liquidity position and the market conditions, and further subject to the terms, including the pricing, to be separately announced for each of such tranches” the company said in a statement.

The Company intends to fund the Notes accepted for purchase in the Tender Offer from its cash reserves. The Tender Offer will expire at 5:00 p.m., New York time, on May 22, 2023, unless extended or earlier terminated as described in the Tender Offer Memorandum.

The Company has engaged Barclays Bank PLC, DBS Bank Ltd., Emirates NBD Bank PJSC, First Abu Dhabi Bank PJSC, MUFG Securities Asia Limited Singapore Branch, SMBC Nikko Securities (Hong Kong) Limited and Standard Chartered Bank to serve as dealer managers for the Tender Offer.