Adani Ports launches cash tender offer for up to $195 million of 3 3/8% notes

By Wendy Van Sickle

Columbus, Ohio, Sept. 27 – Adani Ports and Special Economic Zone Ltd. has begun a cash tender offer for up to $195 million of its $520 million outstanding 3 3/8% senior notes due 2024 (Cusip: Y00130RW9, 00652MAF9).

The company is offering per $1,000 principal amount a total consideration of $975, which includes an early tender premium of $10 payable to holders who tender their notes by the early tender date; or a tender offer consideration of $965 payable to holders who tender their notes after the early deadline.

In addition, the company will pay accrued interest.

The early tender deadline is 5 p.m. ET on Oct. 11, which is also the withdrawal deadline.

Early settlement will occur on Oct. 13.

The tender offer will expire at 5 p.m. ET on Oct. 26.

Final settlement is expected to be on Oct. 30.

Barclays Bank plc (liability.management@barclays.com or NJASyndicate@barclays.com; +44 20 3134 8515, 800 438-3242, 212 528-7581), DBS Bank Ltd. (dbstmg@dbs.com; +65 6878 9821), Emirates NBD Bank PJSC (dcmsf@emiratesnbd.com; +971 4 3032 800), First Abu Dhabi Bank PJSC (LiabilityManagement@bankfab.com; +971 4 565 9956), Mizuho Securities (Singapore) Pte. Ltd. (AS_DBSYN@hk.mizuho-sc.com; +65 6603 5688), MUFG Securities Asia Ltd. Singapore Branch (liability.management@mufgsecurities.com; +65 6232 7631, +33 1 70 91 42 79), SMBC Nikko Securities (Hong Kong) Ltd. (DCM.SSEA@smbcnikko-hk.com; +852 3716 7000) and Standard Chartered Bank (liability_management@sc.com; +44 20 7885 8888) are dealer managers for the tender offer.

The information and tender agent is D.F. King Ltd. (212 269-5550, 877 361-7972, +44 20 7920 9700; APSEZ@dfkingltd.com).

The company said the purpose of the tender offer is to partly prepay its near-term debt maturities and to convey its comfortable liquidity position.

After a tender offer in may under which Adani purchased for cash $130 million of the notes, the company said it intended to offer to purchase for cash about $130 million, or 20%, of the original principal amount of notes in each of the following four quarters. The company said it may choose to either accelerate or defer this plan subject to its own liquidity position and market conditions, and has elected to offer to purchase for cash up to $195 million, or 30% of the original issue, in this second offer.

The company intends to fund the tender offer with its cash reserves.

The port operator and logistics company is based in Ahmedabad, India.

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