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The Adani Group, which recently acquired Holcim’s local businesses in India’s biggest cement takeover, is in talks with more than a dozen foreign banks to raise up to $4.5 billion through a mix of overseas loan instruments, multiple bankers aware of the negotiations told ET.
This will be one of the biggest loan-based fundraisings in foreign currency by an Indian corporate entity. Tenured instruments, such as bonds offering pre-specified coupons, are usually sold overseas for raising large quantities of cash.
The proposed loan structures include mezzanine financing, stock-backed bridge loans to be repaid in cash, and a senior debt facility for 18 months. The last of these structured instruments could be refinanced later with either a long-term bond or loan.
