Hyderabad News

Hyderabad airport operator GHIAL mops up USD 350 mn

Hyderabad airport operator GHIAL mops up USD 350 mn

New Delhi: Hyderabad airport operator GHIAL has raised USD 350 million by issuing securities and the proceeds will be utilised to refinance loans as well as partially fund capital expenditure, a release said.

GMR Hyderabad International Airport Ltd (GHIAL) is a subsidiary of diversified GMR group.

In a release today, GHIAL said it successfully priced an offering of USD 350 million worth bond in the international bond market.

“GHIAL has entered into a Purchase Agreement to issue and allot USD 350 million of 4.25 per cent senior secured fixed rate notes of 10-year tenure,” it said.

At current exchange rate, USD 350 million amounts to around Rs 2,275 crore.

The proceeds would be used to entirely refinance the current outstanding rupee term bank loan, bank external commercial borrowing and towards partial funding of proposed capital expenditure.

GMR Airports Ltd’s President Sidharath Kapur said pricing of the offering at a rate of 4.25 per cent per annum reflects the resounding fundamentals of the credit of Hyderabad airport.

“It saw global investment interest from high quality investors in Asia, Europe and USA and was oversubscribed multiple times.

“This pricing is a benchmark being the lowest 10-year US Dollar bond coupon by a corporate high yield issuer from Asia and the lowest US Dollar bond coupon achieved by an Indian high yield issuer across tenors,” he added.

A subsidiary of GMR group also operates the international airport in the national capital.

PTI