Sadbhav Infrastructure Project on Wednesday announced that the company has executed certain Debenture Trust Deeds with the trustee concerning certain debentures, being Catalyst Trusteeship to raise about Rs700cr in various tranches.
Sadbhav Infra in its regulatory filing highlighted that the Investor consortium led by Allianz Global Investors (AllianzGI) and including AMP Capital, has committed to funding up to Rs700cr to SIPL. The proposed long term funding is in the form of non-convertible debentures with a tenure of more than four years.
Vasistha C. Patel, Managing Director of the Company said, “The business environment has been quite challenging and we are thankful to the NCD investors for reposing trust and confidence in SIPL despite uncertain times. The investment will infuse sufficient liquidity into the Company and will also provide resilience and necessary financial strength to our Balance Sheet over the long term. Proposed fundraising will help SIPL inter alia to repay existing debt and to fund the ongoing portfolio of Hybrid Annuity Model (HAM) road assets of the Company.”
This is part of a larger funding exercise that will help the Company inter alia to repay existing debt and to fund the ongoing portfolio of Hybrid Annuity Model (HAM) road assets of the Company.
On the completion of the transaction, according to the terms of Debenture Trust Deed, SIPL will complete the allotment of non-convertible debentures to the Investors. The transaction is subject to customary conditions precedent common in transactions of this nature.
At around 3.22 pm, Sabhav Infra was trading at Rs20.35 per piece down 1.21% on Sensex.