The rest will be raised through local bank loans, the people cited above said on the condition of anonymity, adding the company plans to mobilize a total of $4-5 billion across FY26.
If Adani Green manages to raise $1.4 billion by selling shares, it would be its largest equity capital raise ever. The company is working on various solar and wind energy projects across India, aiming to capitalize on the country’s efforts to achieve net zero status by 2050.
Shares of Adani Green closed 1.1% down at ₹949 on the BSE on Friday, having risen from ₹774 on 28 February.
“Interest rates in the international bond market are high at 7-9%, which is why the group now prefers to raise capital through equity and vanilla debt from Indian lenders. Rates in the domestic market are still better even though the tenures of debt maturities are a bit shorter, which can be worked out,” the person said, adding shares may be issued on a private placement basis to offshore global private equity and pension funds, mostly from the US and Canada.
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Most of the funds may be used for Adani Green’s solar project in Gujarat’s Khavda, designed to be the world’s largest single-location renewable energy project across 538 sq. km. The project currently has 2.4 GW operational capacity, and targets to raise it to 30GW by 2029.
“The group has access to international markets and diversified sources of funding with elongated maturities up to 20 years,” the second person added.
Queries emailed to an Adani group spokesperson remained unanswered.
The last major sale of AGEL equity shares was in June 2023 when the promoter entities sold some of their stakes in Adani Green Energy and flagship Adani Enterprises to raise $1 billion to prepay debt. In January 2024, Adani Green raised ₹2,337.51 crore through a preferential allotment of warrants to Ardour Investment Holding.
Also read | Andhra Pradesh extends power supply deadline for Adani Green Energy
Adani Green is holding roadshows to attract investor interest for the fund-raising. In a February presentation to potential investors, Adani Green said it is the only company to have strategic sites of 2,50,000 acres for solar and wind plant development and over 5 GW for PSP (pumped storage projects) development backed by “comprehensive geotechnical studies, and a fully prepared evacuation infrastructure”.
It said AGEL’s operational capacity addition achieved a CAGR of 41% in last five years against an industry CAGR of approximately 13%, and is on track to achieve its stated target of 50 GW by 2030. The company’s run-rate EBITDA or operating income at the end of FY24 stood at Rs10,462 crore.
According to the Adani presentation, India is expected to see peak demand of 388 GW by FY32 from 250 GW in FY25 due to increasing demand from data centres, higher GDP growth, rising manufacturing demand, deepening electrification, increasing penetration of consumer goods and fast urbanization. In line with this rising demand, Indian corporates are expected to enhance their renewable energy generation capacity from 162 GW at the end of December 2024 to 571 GW by FY32.
AGEL told investors at roadshows that India may see 51% power capacity from renewable energy and 49% from other sources by 2032. Currently, only 35% of the overall installed capacity is generated from renewable sources. Within the renewables space, the share of solar energy PV alone is expected to be 67%, while 29% is expected to be from wind energy by FY32.
Also read | Adani Group looks to refinance $1.1 billion green energy arm loans
Adani Group wants to capitalize on the country’s rising power demand, and to do so, the group has been working on large funding plans.
AGEL has a $3.4 billion revolving construction facility to fund its long-term growth plans.
Adani Green’s solar, wind and hybrid projects are located in Rajasthan and Gujarat, while its pumped storage projects are coming up in Maharashtra, Andhra Pradesh, Telangana, Tamil Nadu and Uttar Pradesh.
During the roadshows, Adani Green stated that its capital management programme provides deep access to diverse pools of capital, securing large amounts for long durations.
Over the past few years, government policies and global climate commitments have driven massive investments in the renewables space. As a result, companies in the renewable sector are gaining investor attention.
On Thursday, Adani Green Energy said that after commissioning the Khavda power project, total operational renewable capacity has touched 14.22 GW.
On 25 February 2025, Adani Green Energy secured a letter of award for a 1,799 MW solar energy project from the Solar Energy Corp. of India, which is planned to be executed under a 25-year power purchase agreement. This may create a new long-term revenue stream for AGEL.
Since then, the company has made a series of announcements about various project completions.
On 21 March, the company said its subsidiary Adani Green Energy Twenty Five has commissioned a 250 MW solar power project at Badi Sid and Kalyan Ki Sid, Rajasthan.
The group has added over 1 GW of renewable capacity in the past year.
On 24 March, shares of Diamond Power Infrastructure hit the upper circuit after it announced receiving a letter of intent (LoI) from Adani Green Energy for a ₹214.65 crore project. The contract is for supplying conductors for Adani Greens Khavda Power Project.
Also read | The business case for green energy
Adani Green has increased reliance on equity capital and domestic credit lines, while reducing its dependence on offshore bond issuances ever since the company’s promoters were indicted in an alleged bribery scheme by the Department of Justice of a US court in November. Adani Group has said the charges were “baseless” and that it would seek “all possible legal recourse.”
AGEL’s latest fund raising plan is a part of the group’s capex strategy over the next five years.
Adani Group has planned a ₹5 trillion capex over the next five years. About 85% of this will be for utilities such as green energy, other power generation projects, power transmission projects, airports and ports. The remaining 15% is planned to be spent on metals, materials and mining.
