Private Credit funds to invest Rs.3,000-Cr in JSW Group’s Rs.9,300-Cr fund raise for Akzo Nobel acqu

The JSW Group has raised INR 9,300-crore to fund the buy out of Amsterdam-based paints firm Akzo Nobel's Indian operations. The deal involves three separate tranches - an operating company-level debt of around INR 3,300 crore, a INR 3,000-crore convertible instrument at holding company, and about INR 3,000 crore loan against shares at the promoter level.The operating company debt of INR 3,300 crore is being raised through a syndicate of foreign lenders, including SMBC, MUFG, Mizuho, Barclays, JPMorgan and DBS. The loan is priced at 10% plus withholding tax.Another INR 3,000 crore is being raised via a loan against shares from domestic mutual funds, including Kotak Mutual Fund structured at an interest rate of around 8.5%. This tranche is backed by the shares of a listed group company, helping bridge the funding requirement at the promoter level.An additional fundraise of INR 3,000 crore is through convertibles at the holding company level from private credit funds.