Inox Wind Secures ₹2,200 Crore Financing with ICICI Bank Consortium

Inox Wind Limited (IWL), a leading provider of wind energy solutions in India, has announced a significant milestone in its financial strategy by signing a consortium agreement with a group of banks led by ICICI Bank. This agreement establishes credit limits of approximately ₹2,200 crore, with the potential for enhancement to around ₹2,400 crore based on the working capital assessment by ICICI Bank.

The credit facilities are primarily non-fund based, including bank guarantees (BGs) and letters of credit (LCs). Notably, these limits have been sanctioned based on the robust financial position of IWL’s balance sheet, eliminating the need for corporate guarantees or any support from its parent company, Gujarat Fluorochemicals Ltd. (GFL). IWL’s recent fundraising efforts and operational improvements have resulted in a net cash-positive balance sheet, reinforcing its financial stability.

This new arrangement signifies a pivotal shift for Inox Wind, as any prior corporate guarantees or support provided by GFL will soon be vacated, showcasing the banking community’s renewed confidence in IWL’s financial strength. The consortium comprises 10 banks, including several prestigious private and foreign banks, further emphasising the trust placed in IWL’s potential for growth in the renewable energy sector. With this financial backing, IWL is poised to enhance its operational capabilities and expand its contributions to India’s renewable energy landscape.

Speaking on the occasion, the Group CFO of INOXGFL Group, Mr Akhil Jindal, said, “The consortium arrangement reposes the confidence of the banking community in IWL’s financial strength. This is the culmination of the last several quarters of efforts and is backed by the strong operational performance by the company and its robust outlook. We thank all our banking partners who have been supportive throughout our journey largely on account of IWL honouring all its commitments without causing any loss to the banks and financial institutions.”

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