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NEW DELHI: Andhra Pradesh is set to get an oil refinery and a petrochemical hub at Ramayapatnam in Nellore district that entails an investment of Rs 60,000 crore, fulfilling a promise made at the time of the state’s bifurcation in 2014 and giving chief minister N Chandrababu Naidu a boost. Bharat Petroleum Corp. Ltd (BPCL) will establish the refinery and hub on 1,000 acres of land, said people with knowledge of the matter. As first reported by ET on July 11, the state government had offered three locations to BPCL — Srikakulam, Machilipatnam and Ramayapatnam. After a meeting with the BPCL’s senior leadership in July, Naidu had ordered detailed feasibility studies for the three sites. A formal announcement is likely to be made by the end of the month, said the people cited above.Ramayapatnam has been found to be the most suited for the project, said the people cited. BPCL will have access to a captive jetty at Ramayapatnam port for its requirements.Growing Political CloutBPCL didn’t respond to ET’s queries. Andhra Pradesh industries minister TG Bharath declined to comment. “The announcement is likely to be around the time of the foundation stone laying ceremony of NTPC’s green hydrogen hub at Pudimadaka near Vizag,” said a senior state government official. Naidu had last week invited Prime Minister Narendra Modi for that ceremony.The refinery project is a big win for Naidu, whose Telugu Desam Party (TDP) provides crucial support to the Bharatiya Janata Party-led National Democratic Alliance (NDA) government at the Centre. It headed Naidu’s agenda when he met the Prime Minister on his first visit to New Delhi on July 5 after being sworn in as chief minister.115500534Within five days of this meeting, a BPCL team met Naidu in Vijaywada to discuss the project. Naidu has effectively delivered on a decadeold pledge that didn’t come to fruition under previous governments, including his own, reflecting the chief minister’s increased political heft after the general elections earlier this year.The refinery commitment was included in the Andhra Pradesh Reorganisation Act, 2014.The Centre “shall take all necessary measures as enumerated in the Thirteenth Schedule for the progress and sustainable development of the successor states within a period of 10 years from the appointed day,” according to Section 93 of the Act.The fourth point under the “infrastructure” head of the Thirteenth Schedule says, “IOC or HPCL shall, within six months from the appointed day, examine the feasibility of establishing a greenfield crude oil refinery and petrochemical complex in the successor state of Andhra Pradesh and take an expeditious decision thereon.”Indian Oil Corporation, Hindustan Petroleum Corporation Ltd and BPCL are state-run refining companies.

Mumbai: Adani Green Energy, India's largest private sector renewable power company, on Wednesday raised $600 million through a 20-year bond, sources close to the development told ET. This issue comes a month after the group postponed a $1.2-billion bond offering as some investors differed over pricing of the instruments. ET reported on Monday the company would be raising $600 million through a bond issuance.The company priced the bond at 7.45% and the proceeds of the issue will be used to refinance existing loan facilities of the company. The pricing of these bonds is much higher than the 7% targeted by Adani Green in the issue that was pulled out ultimately on October 15. Bankers said the more expensive pricing reflects the rise in the benchmark US treasury yield since that date.The 10-year US treasury yield has risen to around 4.42% from around 4% on October 15, which has been reflected in the Adani bonds."The total order book after the opening of the US market was more than $2.1 billion, which allowed the company to price this bond at 7.45%, tighter than the initial guidance of 7.75%. The learning from last time was that it is better to do smaller size issues than look for a large one. So unlike in October, when the company wanted to raise more than $1 billion, this time the company was always looking to raise $600 million," said a banking industry source.115506380US-based private investment company Wellington Management Co, the world's largest asset manager Blackrock Inc, Pacific Life Insurance, PIMCO, AIA Group and Lombard Asset Finance of the UK were also among the other investors, people familiar with the issue said.The bond issuance covers three Rajasthan-based green energy subsidiaries - Adani Hybrid Energy Jaisalmer One Limited, Adani Hybrid Energy Jaisalmer Two Limited, and Adani Solar Energy Jaisalmer One Private Limited.Adani Green officials did not comment. DBS Bank, MUFG Securities, State Bank of India , Emirates NBD, First Abu Dhabi, ING Bank, Intesa Sanpaolo, Mizuho Securities and SMBC Nikko Securities are the bankers to the issue.On October 15, Adani Green called off its $1.2 billion bond issue after investors demanded higher yield from the company, citing geopolitical uncertainties, ET had reported in its October 16 edition. The company was comfortable with a fixed coupon yield of 7% but investors sought a 10 to 20 basis points premium, which the company declined to give and chose to call off the issue.

Mumbai: The Department for Promotion of Industry and Internal Trade (DPIIT) has approved the ₹10,000-crore acquisition of Anil Ambani-promoted Reliance Capital by Hinduja Group-backed IndusInd International Holdings (IIHL), sources familiar with the development told ET.With this approval, all regulatory clearances required to finalise the transaction are now in place, said sources.IIHL had already secured approvals from the Reserve Bank of India (RBI), the Insurance Regulatory and Development Authority of India (IRDAI), and stock and commodity exchanges earlier this year.IIHL did not respond to queries from ET.IIHL emerged as the successful resolution applicant in April 2023 for acquiring the troubled financial services firm under the Corporate Insolvency Resolution Process (CIRP) of the Insolvency and Bankruptcy Code (IBC). The company won the bid at ₹9,650 crore in April 2023.The initial deadline to complete Reliance Capital's insolvency proceedings and make payments to lenders was May 27, 2024, but IIHL sought an extension from the National Company Law Tribunal (NCLT), citing delays in obtaining DPIIT approval for foreign investment. IIHL's application attributed the delay to unforeseen developments in the approval process. DPIIT approval was crucial due to IIHL's shareholder structure, which includes 600 shareholders from regions like the UAE, Singapore, Hong Kong, and Mauritius. Of these, 39 shareholders are from Hong Kong, a region classified as a land-border country under Press Note 3 (PN3) due to its special administrative ties with China.The DPIIT approval was particularly critical as the Hinduja Group must close the transaction by November 30, a deadline that was later extended to January 31, 2025. Failure to meet the deadline would require the group to return ₹3,000 crore raised from high-net-worth individuals (HNIs), ultra-HNIs, and family offices for the deal. The resolution plan will be funded through ₹7,300 crore in borrowings and ₹2,750 crore in equity.