Adani Ports Locks In Rs 5,000 Crore From LIC In Major Domestic Bond Deal

Adani Ports and Special Economic Zone Ltd (APSEZ) has clinched its largest domestic debt raise to date, securing Rs 5,000 crore via a 15-year non-convertible debenture (NCD) fully subscribed by the Life Insurance Corporation of India (LIC). The issuance, which carries a 7.75% annual coupon and will be listed on the BSE, marks the longest-tenure rupee bond in the company’s history — and one of the longest in India’s debt market.

This latest move is a key milestone in APSEZ’s broader financial roadmap aimed at optimising its capital structure. The raised funds are intended for a potential buyback of existing US dollar bonds, pending board approval on May 31, 2025.

Longer Maturity, Lower Risk: Adani Ports Extends Debt Timeline

With this issuance, APSEZ has significantly pushed out its average debt maturity — from 4.8 years to 6.2 years — achieving a more balanced and resilient debt profile. The company, which continues to enjoy a 'AAA/Stable' rating from top domestic rating agencies, including CRISIL, ICRA, CARE, and India Ratings, sees this bond deal as a strong validation of its creditworthiness and strategic financial planning.

“This isn't merely a financing exercise; it's a proactive execution of a meticulously developed Capital Management Plan for APSEZ, focused on maintaining conservative leverage, extending the debt maturity profile, lowering cost, and diversifying funding sources. This plan is designed to support APSEZ with its long-term vision to become the world’s largest integrated transport utility,” said Mr. Ashwani Gupta, Whole-time Director & CEO, APSEZ.

Eyes Set On 1 Billion Tonne Cargo Target By FY30

As part of its ambitious growth strategy, APSEZ has committed to more than doubling its cargo handling to 1 billion tonnes by FY30. The firm is also ramping up investments in its logistics and marine services, as it transforms beyond core port operations. The increased maturity and stability of its debt structure are expected to provide the financial flexibility needed for such expansion, especially in areas that demand sustained capital input and technological upgradation.

With the backing of patient capital and a stable cost of funds, APSEZ is positioning itself to pursue both organic growth and strategic acquisitions, while ensuring liquidity buffers for future innovation. The company sees the current bond issuance not just as a funding activity but as a foundational step in executing its long-term vision.

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