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Adani Enterprises raises $500 million through QIP

Adani flagship firm to use the proceeds from QIP for debt repayment and general corporate purpose

Adani Enterprises raises $500 million through QIP
[Source photo: Chetan Jha]

Indian billionaire Gautam Adani’s flagship firm, Adani Enterprises Limited (AEL), said on Thursday that it had raised ₹4,200 crore ($500 million) in a share sale to large investors through qualified institutional placement (QIP). The firm said it will use the proceeds from QIP for debt repayment and general corporate purposes.

AEL saw an overwhelming demand and received bids approximately 4.2 times the deal size of $500 million from Mutual funds, insurance firms, and global investors. The firm has allocated 14.1 million equity shares to qualified institutional buyers at an issue price of ₹2,962 per share to a diverse group of investors, including global long-only investors, significant Indian mutual funds, and insurance companies that subscribed to QIP that closed on Thursday.

 “The transaction was launched post-market hours on 9 October 2024 with a deal size of approximately ₹4,200 crore ($500 million) and closed on 15 October 2024,” The statement said.

While launching QIP, AEL shared that the company wishes to raise an additional $500 million through a green shoe option. It may be recalled that Adani Enterprises’ board had approved a fundraising of Rs16,600 crore, or about $2 billion, in May.

AEL’s incubation portfolio includes airports and roads in the transport and logistics sector, a new energy ecosystem (including solar and wind manufacturing), data centers, and the firm’s other businesses, including copper, PVC, defense, and specialized manufacturing.

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