India's ReNew issues USD 400m of green bonds amid strong demand

Indian renewable power producer ReNew Energy Global Plc (NASDAQ:RNW) said today that a fully-owned unit has raised USD 400 million (EUR 364.3m) through a green bond issuance that saw strong investor demand.

The company, which has a clean energy portfolio that exceeds 13.4 GW of capacity, said that this issuance of senior secured green bonds by Diamond II Limited has put an end to “a year-long hiatus for India high-yield new issuances.”

The total investor demand of more than USD 1.5 billion meant that the order book was oversubscribed almost four times. This has led to a 35 bps tightening of pricing, the company noted.

ReNew plans to use the net proceeds to refinance existing dollar debt and fund various growth initiatives. Its president of corporate finance, Kailash Vaswani, stated: “Raising corporate funds at an expected rate [is] consistent with our long-term plan and will enable us to accelerate our renewable energy initiatives, reduce our cost of capital, drive innovation and make a positive impact on the environment.”

(USD 1.0 = EUR 0.911)

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