Adani’s New Energy Arm In Trade Finance Facility For $394m

Adani Green added 2140MW of renewable energy from its hybrid projects

Adani New Industries Limited (ANIL) ecosystem has announced the raise of a trade finance facility of USD 394mn (INR 3,231 Cr) from Barclays PLC and Deutsche Bank AG for securing working capital requirements of its integrated solar module manufacturing facility. ANIL, a wholly owned subsidiary of Adani Enterprises Ltd, is building an ecosystem of one of the largest integrated green hydrogen businesses, including solar modules and wind turbine manufacturing.

After the Hindenberg controversy that sank many of the group’s stocks, the group has made a smart recovery backed by the quality of its assets, ability to attract institutional investor support from GQG and others, and now, strong results from the same listed entities. The group’s energy firms have been on a particularly strong wicket with key project commissionings and announcement of progress on other projects.

At the height of the Hindenberg saga, we had anticipated the biggest impact to be on projects under the ANIL stable only, as the firm was dependent on external financing besides internal group loans the most. Its plans in the green hydrogen space in particular were expected to be delayed a little, as being early days, the risks of any long term impact on plans were the least in that segment. Clearly, as this latest deal shows, things are fast moving back on track