Adani Green Energy (AGEL) has officially obtained $1.36 billion in funding from an international consortium of banks as part of its construction financing framework. This senior debt facility increases the company's funding pool to $3 billion, complementing the initial project financing secured in March 2021, according to AGEL's announcement. Recognized as India's largest and a frontrunner in global renewable energy, AGEL revealed an extra funding injection of $1.36 billion to enhance its construction financing framework to $3 billion, backed by a notable group of international banks.
AGEL highlighted the critical role of the green loan facility's approval in driving the development of Gujarat's Khavda renewable energy park, hailed as the world's largest. This funding represents a significant stride toward initiating a 2,167 MW project at Khavda, laying the groundwork for future expansions at the site. Furthermore, the establishment of the Khavda renewable energy park aligns with AGEL's ambition to achieve an operational renewable capacity of 45 GW by 2030, contributing significantly to India's pursuit of net-zero carbon emissions.
The company finalized agreements with eight well-established international banks pivotal in establishing AGEL's Construction Financing Framework in March 2021. Notable lenders in this consortium comprise BNP Paribas, Cooperative Rabobank U.A., DBS Bank Ltd, Intesa Sanpaolo S.p.A., MUFG Bank, Ltd., Societe Generale, Standard Chartered Bank, and Sumitomo Mitsui Banking Corporation. Vineet S Jaain, MD at AGEL, emphasized the significance of extending financing to USD 3 billion, underscoring its pivotal role in propelling the Khavda site into the world's largest renewable energy park, with a targeted generation capacity of 17 GW.
Amit Singh, CEO of Adani Green Energy Ltd, reaffirmed their commitment to expanding renewable power capacity to 45 GW by 2030, emphasizing their dedication to mitigating climate change risks. Additionally, DBS Bank Ltd, MUFG Bank, Ltd, Standard Chartered Bank, and Sumitomo Mitsui Banking Corporation served as Co-Green structuring banks, while Cooperative Rabobank U.A. functioned as the Documentation and Structuring Bank, and MUFG Bank, Ltd. acted as the Guarantee structuring bank. Legal representation for the borrower included Latham & Watkins LLP and Saraf & Partners, while Linklaters and Cyril Amarchand Mangaldas provided counsel for the lenders.