Axis Bank’s $600 Million Sustainable AT1 Notes Offering

Latham & Watkins advised the Lead Managers in the transaction while Shardul Amarchand Mangaldas & Co. advised Axis Bank.

Axis Bank, India’s third largest private sector bank, closed its US$600 million issuance of Sustainable Additional Tier 1 (AT1) notes in the overseas markets. This is a first-of-its-kind transaction and makes India only one of two jurisdictions in Asia with an ESG AT1 issuance. The transaction is also Axis Bank’s largest ever single-tranche USD bond issuance to date.

The bonds were sold to qualified institutional buyers in reliance on Rule 144A and outside the United States in offshore transactions in reliance on Regulation S. The issuance has been given a rating of B1 by Moody’s Rating Services.

The Lead Managers in the transaction comprised Axis Bank Limited, Singapore Branch, BNP PARIBAS, BofA Securities, Citigroup, Crédit Agricole CIB, Emirates NBD Capital, HSBC, J.P. Morgan, Mashreqbank psc, MUFG, Standard Chartered Bank and Société Générale.

Axis Bank is the third largest private sector bank in India. The Bank offers the entire spectrum of financial services to customer segments covering Large and Mid-Corporates, MSME, Agriculture and Retail Businesses.

The Latham & Watkins team was led by Singapore partner Rajiv Gupta (Picture). Additional advice on English law was provided by London partner Manoj Tulsiani with associate Clive Wong; on US law by Singapore partner Min Yee Ng; and on regulatory issues by New York partner Courtenay Myers Lima. Advice on tax matters was provided by London partner Sean Finn, and New York partners Gregory Hannibal and Elena Romanova with associate Ronald Moore. 

The Shardul Amarchand Mangaldas & Co. team consisted of Partners Nikhil Naredi (Picture), Monal Mukherjee and Associates Oindree Bandyopadhyay, Tarun Srikanth.

Involved fees earner: Sean Finn – Latham & Watkins; Rajiv Gupta – Latham & Watkins; Gregory Hannibal – Latham & Watkins; Ronald Moore – Latham & Watkins; Courtenay Myers Lima – Latham & Watkins; Min Yee Ng – Latham & Watkins; Elena Romanova – Latham & Watkins; Manoj Tulsiani – Latham & Watkins; Clive Siu Yin Wong – Latham & Watkins; Oindree Bandyopadhyay – Shardul Amarchand & Mangaldas & Co.; Monal Mukherjee – Shardul Amarchand & Mangaldas & Co.; Nikhil Naredi – Shardul Amarchand & Mangaldas & Co.; Tarun Srikanth – Shardul Amarchand & Mangaldas & Co.;

Law Firms: Latham & Watkins; Shardul Amarchand & Mangaldas & Co.;

Clients: Axis Bank; Axis Bank, Singapore Branch; Bank of America Securities; BNP Paribas; Citigroup Inc.; Crédit Agricole Corporate and Investment Bank; Emirates NBD Capital Limited; HSBC; J.P. Morgan Securities LLC; Mashreqbank; MUFG; Société Générale; Standard Chartered Bank;