Adani Enterprises Launches ₹1,000 Cr NCD Issue with Yields Up to 9.30%
Adani Enterprises Ltd (AEL), the flagship company of the Adani Group, has announced a public issue of secured, rated, listed, redeemable non-convertible debentures (NCDs) worth ₹1,000 crore. The offering opens for subscription on July 9 and will remain open until July 22, 2025, unless it closes earlier due to full subscription.
Adani NCD
The base issue size is ₹500 crore with an option to retain oversubscription up to ₹500 crore, totaling ₹1,000 crore. The NCDs come in eight series across tenors of 24, 36, and 60 months, offering annual, quarterly, and cumulative interest payment options. The yields range from 8.95% to 9.30% per annum depending on the tenure and option selected. This is AEL’s second retail bond issue, following a successful ₹800 crore issuance in 2024 that was fully subscribed on the first day.
9.3% Yield
The NCDs are rated AA- (Stable) by both CARE Ratings and ICRA, indicating a low credit risk profile. The highest yield of 9.30% is available on the five-year cumulative option. In the current climate of moderating interest rates, these returns stand out as attractive for investors seeking stable income with relatively low risk.
Retail Bonds
Retail investors can participate with a minimum investment of ₹10,000 (10 NCDs of ₹1,000 each). The NCDs will be listed on both the BSE and NSE, offering liquidity in the secondary market. Allocation will be made on a first-come, first-served basis across all categories, including retail, high net-worth individuals, corporates, and institutions.
Group CFO Jugeshinder “Robbie” Singh stated that the NCD issue demonstrates the company’s commitment to broadening retail investor participation in India’s infrastructure development. He emphasized that AEL’s business incubates core infrastructure sectors like airports, energy, ports, roads, data centers, and green hydrogen—aligned with the country’s $5 trillion economy goal.
Use of Funds and Market Position
Approximately 75% of the net proceeds will be used to refinance existing borrowings, while the remaining funds will support general corporate purposes. This move is seen as a continuation of the group’s strategy to diversify funding sources while offering secure, rated instruments to retail investors.
Why It Matters
Adani Enterprises becomes one of the few large corporates, outside of NBFCs, to regularly tap into the retail bond market with listed NCDs. It reflects growing investor confidence and the group’s emphasis on financial inclusion. With high interest payouts and top-tier ratings, this issue is likely to attract strong demand from income-focused investors.
