MUMBAI : Fitch affirmed the ‘BBB-’ ratings on Adani Electricity Mumbai Limited’s (AEML) senior secured notes and those guaranteed by AESL’s subsidiary, Adani Transmission Step-One Limited. The agency said the Stable outlook reflects “easing contagion risk associated with APSEZ” and the Adani Group’s ability to secure financing despite the November 2024 US indictment involving certain board members of Adani Green Energy Limited.
The revision follows the Securities and Exchange Board of India’s (SEBI) September 2025 ruling that the Adani Group did not violate disclosure norms or manipulate markets, as alleged in a 2023 short-seller report. Fitch noted that liquidity and funding are expected to remain strong, supported by APSEZ’s robust seaport portfolio, flexible capital expenditure, and solid market access.
“APSEZ’s financial profile remains stronger than what its BBB- rating implies, though capped by India’s Country Ceiling,” Fitch stated. It praised APSEZ’s geographically diversified ports, advanced logistics, and “best-in-class operational efficiency,” noting high customer retention and infrastructure capable of handling varied cargo. As India’s largest commercial port operator, APSEZ handles about 25% of the nation’s seaborne cargo through 15 major ports and terminals.
For AESL, Fitch revised the outlook to Stable and affirmed its long-term foreign and local currency issuer default ratings at ‘BBB-’. The agency cited reduced contagion risk from US investigations and highlighted AESL’s continued access to global and domestic capital markets, raising over USD 24 billion since late 2024, including USD 1.6 billion in rupee borrowings and USD 200 million from foreign lenders.
Fitch also said AESL and AEML’s credit profiles benefit from a “stable and favourable regulatory environment,” ensuring predictable revenues from cost-plus and transmission-based projects. While tariff-based competitive bidding assets offer slightly lower protection, minimal operational costs mitigate margin risks.
AESL, one of India’s largest private power transmission and distribution players, operates across 14 states and holds a 74.9% stake in AEML, which services 85% of Mumbai’s power needs.