Adani New Industries (ANIL) is in talks to raise up to USD three billion in funding for capital expenditure with the aim to solidify its position in India’s green hydrogen sector.

The unit of ports-to-power conglomerate is discussing the planned transaction with a group of foreign lenders and is likely to raise the finance via offshore loans in two or three tranches over the next 12 months, with the process starting in June this year.

Lenders discussing the credit facility with the company include DBS Bank, Deutsche Bank AG, First Abu Dhabi Bank PJSC, ING Bank NV, MUFG Bank and Standard Chartered Bank.

ANIL intends to commence production of clean fuel from 2027 in Gujarat and could invest as much as USD 50 billion over 10 years. Proceeds from the fundraising would be utilised to support this plan for clean hydrogen production as the government pushes the technology as a major part of the nation’s effort to achieve net zero emissions by 2070.