GMR-owned Delhi Airport to Raise Rs 1,000 cr Through NCDs to Refinance Debt

Delhi International Airport (DIAL) plans to raise ₹1,000 crore through NCDs to refinance existing debt. The 15-year debentures will offer an 8.75% coupon and be listed, rated, and redeemable. Axis Bank, Barclays, and Deutsche Bank are arrangers. Proceeds will be used primarily for refinancing existing obligations.

Delhi International Airport (DIAL) is planning to raise ₹1,000 crore through non-convertible debentures (NCDs) to refinance existing debt. The 15-year debentures will offer an 8.75% coupon and will be listed, rated, and redeemable. Axis Bank, Barclays, and Deutsche Bank are acting as arrangers for this issuance. The proceeds from this debt refinancing will primarily be used to pay down existing obligations.

The NCDs, which are unsecured and taxable, are scheduled to mature on August 29, 2030, and will be issued in dematerialized form for trading purposes. The first interest payment date is set for August 29, 2026, with subsequent payments on August 29, 2027, and August 29, 2028. The interest rate will be computed on a 365-day basis on the principal outstanding.

The 'Bond Allotment Committee' is scheduled to meet on August 29, 2025, to approve the issue and allotment of these securities. The NCDs are governed by Indian laws, and any disputes will be subject to the jurisdiction of the courts of New Delhi.

This move by DIAL is part of its ongoing efforts to strengthen its financial position and optimize its debt structure. The refinancing will help the airport reduce its debt servicing costs and improve its overall financial health.

References:
[1] https://www.tradingview.com/news/moneycontrol:88e38a88f094b:0-hudco-to-issue-3-000-crore-ncds-board-meet-on-august-29/
[2] https://scanx.trade/stock-market-news/corporate-actions/gmr-airports-approves-5-000-crore-fundraising-and-delhi-airport-cargo-city-spv/17325051