Adani Enterprises, the flagship of the Adani Group, plans to launch a $1-billion share sale by mid-Sept, reports said.
The offering of existing shares will mark Adani Enterprises’ return to the capital market after it withdrew a $2.5-billion follow-on offering in Feb last year after US short seller Hindenburg Research accused the conglomerate of improper use of offshore tax destinations and stock price manipulation. The group had denied the allegations.
Separately, Adani Enterprises said its chairman Gautam Adani hasn’t specified when he will step down from his current role nor when he will hand over control of the group to the next generation.
A week ago, group company Adani Green Solutions had raised $1 billion through the qualified institutional placement (QIP) route. Adani Enterprises too plans to raise $1 billion through the QIP route. In May, the board of Adani Enterprises had approved a proposal to raise £1.66 bn through the QIP route. QIP is a less regulated route than a FPO to raise money from such institutions as banks and funds. Through the QIP, promoters will see their stake diluted in the post-equity capital of Adani Enterprises. Promoters own about 75% in the flagship company of the conglomerate.
Adani Energy Solutions QIP last week got bids from utility-focused US investors, sovereign wealth funds from the UAE and Qatar, and Indian mutual funds. The issue received bids for six times as many shares as were on offer.
