Adani Airports Holdings Ltd., a subsidiary of Adani Enterprises Ltd. and India's largest private airport operator, has secured $1 billion in financing for Mumbai International Airport Ltd.
This financing includes the issuance of $750 million notes maturing in July 2029, primarily aimed at refinancing existing debt, according to a press release. Additionally, the structure allows for raising an extra $250 million, bringing the total financing to $1 billion.
This financing framework is designed to enhance MIAL's financial flexibility, supporting its capital expenditure program for development, modernisation, and capacity enhancement, the release said.
Notably, this marks India's first investment-grade rated private bond issuance in the airport infrastructure sector, it added.
The transaction was led by Apollo-managed funds, with participation from a syndicate of leading institutional investors and insurance companies, including BlackRock-managed funds and Standard Chartered.
Backed by MIAL's stable asset base, cash flows, and operational excellence, the notes are expected to be rated BBB-/stable.
The legal advisors to the transaction included A&O Shearman and Cyril Amarchand Mangaldas for MIAL, while Milbank LLP and Khaitan & Co. were investors' counsels.
Mumbai International Airport Ltd. is managed by Adani Airport Holdings Ltd., a subsidiary of Adani Enterprises, the flagship company of the globally diversified Adani Group. MIAL is a Public-Private Partnership venture between AAHL, holding a majority stake of 74%, and the Airports Authority of India, holding the rest 26%.
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