Adani Port And SEZ To Repay $130 Million Debt Early, Aims To Restore Investor Confidence

Adani Ports and Special Economic Zone (APSEZ) announced on Tuesday that it would make an early payment of $130 million towards its debt.

The company had offered almost $413 million worth of debt for early repayment, including a tender of up to $130 million for 3.375% 2024 maturity dollar-denominated bonds, which was floated last month in an effort to restore investor confidence following a U.S. short-seller's report that had negatively impacted the group's shares earlier this year.

In addition to this, the company had also initiated a buyback program for certain debt securities in order to prepay its near-term debt maturities. It had started a cash tender offer for up to $130 million of the outstanding 3.375% senior notes due in 2024 as part of this programme.

The seven listed equities of the Gautam Adani-led organisation have lost roughly $114 billion in market value since Hindenburg Research's research on January 24 accused it of manipulating stock prices and improperly using offshore tax havens. The group is led by the billionaire businessman. The organisation refuted every accusation.

The conglomerate, run by multibillionaire Gautam Adani, has been charged with accounting fraud, stock manipulation, and other financial wrongdoings. Despite the fact that the firm and Adani publicly denied the accusations, the stocks still dropped.

APSEZ completed the sale of its port in Myanmar earlier this month for $30 million, which is less than its initial investment. After a military takeover in Myanmar resulted in a crackdown on widespread demonstrations and US sanctions, the sale was announced in May 2022. Due to difficulties in fulfilling requirements for the project's completion, the agreement had to be delayed. It originally intended to finish the exit sometime between March and June 2022. A $90 million advance payment for land leasing was part of the company's $127 million investment in the project.