Avaada Ventures to raise Rs 3,515 cr via NCDs; $398 mn through ECB for debt refinancing

Mumbai: Avaada Ventures, the holding company of renewable energy group Avaada, plans to raise up to ₹3,515 crore through rupee-denominated non-convertible debentures (NCD) and up to $398 million through an external commercial borrowing (ECB) to refinance existing debt and fund its corporate requirements.

The NCD will have two components and end roughly in three years. The company will raise ₹3,240 crore through Series A debentures and another ₹275 crore through Series B debentures. Both series carry a fixed coupon of 11.75%.

The NCD issue is scheduled to open and close on September 17.


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Proceeds from both the NCDs and the proposed ECB will be used to refinance existing liabilities. The proceeds of the debt will be used to pay Brookfield investment $685 million, $80 million to retire outstanding CP at AVPL and the balance towards transaction expenses, according to an India Ratings report.

Brookfield, through its Global Energy Transition Fund, had committed $1 billion to AVPL in 2023 and has infused $400 million through OCDs as of March 31, 2026 and the balance commitment will come under a new structure and specific end-use requirements under discussion. The OCDs have a tenor of over eight years through FY32, with no annual coupon payouts and redemption triggered only by an event of default or liquidity event.

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A company spokesperson did not immediately respond to a request for comment.

The ECB facility, which is proposed to be senior and secured, can be raised in one or more tranches, sources said adding that $398 million with banks including Barclays Bank, DBS Bank and other potential lenders.

Avaada had earlier obtained shareholder approval to issue up to ₹4,600 crore of NCDs. Avaada is required to complete a monetisation event within 18 months of execution of the debenture trust deed.