Adani Enterprises raises $500 million via QIP to push growth plans

Ahmedabad:

Adani Enterprises Limited (AEL) on Thursday said it has successfully raised $500 million (about Rs 4,200 crore) primary equity via qualified institutional placement (QIP) to further its growth plans.

 

The flagship company of the Adani Group completed the QIP of face value of Rs 1 each, aggregating to Rs 4,200 crore. A total of 1,41,79,608 equity shares were allocated at an issue price of Rs 2,962 per equity share through the QIP.

 

The QIP saw overwhelming demand, receiving bids of approximately 4.2 times of the deal size from a diverse group of investors, including global long-only investors, major Indian mutual funds and insurance companies.

 

The proceeds from the QIP will be utilised for funding capital expenditure, debt repayment and general corporate purposes, the company said in a statement.

 

The transaction was launched on October 9, with a deal size of approximately $500 million, and closed on October 15.

 

SBI Capital Markets, Jefferies India and ICICI Securities were the book running lead managers for the issue. Cantor Fitzgerald & Co acted as an advisor in connection with the issue.

 

According to the company, the successful QIP underscores its position as India’s largest listed incubator of scalable and large businesses in core infrastructure which addresses the needs of the country.

 

The current incubation portfolio of Adani Enterprises includes airports and roads in the transport and logistics sector, new energy ecosystem (including solar and wind manufacturing) and data centres in the energy and utility sector.

 

In the April-June quarter, Adani Enterprises Ltd reported a robust net profit of Rs 1,458 crore, an impressive 116 per cent growth from the same quarter last fiscal. The flagship company of the Adani Group clocked Rs 26,067 crore in total income, a 13 per cent rise from Rs 23,016 crore in Q1 FY24. Consolidated EBITDA increased by 48 per cent to Rs 4,300 crore.

 

The emerging core infra businesses of Adani New Industries Ltd (ANIL) ecosystem, airports and roads are consistently making significant strides in their operational performance.

 


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