Adani Enterprises approves Rs 16,600-cr QIP

Adani Enterprises’ board has approved raising up to Rs 16,600 crore through a qualified institutional placement of shares. These shares will have a face value of Rs 1 each, and the fund raising will be done through one or more tranches, the company notified exchanges on Tuesday.

On Monday, the board of group firm Adani Energy Solutions also approved raising up to Rs 12,500 crore through a QIP. The two companies will raise a total of Rs 29,100 crore or around $3.5 billion.

Last week, ET had reported that the two companies are planning to raise around Rs 24,000 crore or about $2.88 billion, backed by interest from some first-time international investors who are looking at investing in the infrastructure story in India.

The flagship company of the Adani group, Adani Enterprises, is planning to raise funds via the capital market for the first time since it has announced a follow-up public offer last year. While the country’s largest FPO at Rs 20,000 crore was successful, the company had returned the money to the shareholders following a sharp correction in share prices.

Between January and February last year, shares of Adani Enterprises had crashed 65% following allegations from US-based short seller Hindenburg. While the shares did see recovery through the year, the shares still ended with an over 26% loss. So far in 2024, the shares are up more than 14%, and are yet to reach the high hit in 2023.

Shares of Adani Energy Solutions, meanwhile, ended 2023 with a near 60% loss. The shares are up a little over 4% so far in 2024, and at less than half of their price as compared to the peak levels in 2023.

Both Adani Enterprises and Adani Energy Solutions had taken a board approval to raise funds through a QIP last year, but did not go ahead with the fund raising.