The deal happened through secondary market block deals.
New Delhi:
Troubled Adani Group has sold minority stake in four of its listed companies to US-based GQG Partners for Rs 15,446 crore, as the Apple-to-Airport conglomerate recovers from a selloff triggered by short-seller reports, looks to be on edge Liquidity ahead of loan repayment of USD 2 billion in the coming months.
It sold shares in flagship incubating firm Adani Enterprises Ltd (AEL), port company Adani Ports and Special Economic Zone Ltd (APSEZ), electricity transmitting firm Adani Transmission Ltd (ATL) and renewable energy firm Adani Green Energy Ltd (AGEL).
“GQG is investing in Adani portfolio companies, which owns and operates the largest airport and port platform in India, the largest private sector transmission and distribution platform in India and which is responsible for increasing India’s renewable energy capacity by 2030. will generate about 9 per cent of that,” it said. a statement on Thursday.
The deal happened through secondary market block deals.
It added, “The investment makes GQG a leading investor in the development and growth of critical Indian infrastructure.”
The share sale is part of the Gautam Adani-led conglomerate’s comeback strategy after a damning report by a US short seller wiped off over USD 140 billion from the group’s market value.
The group has a gross debt of Rs 2.21 lakh crore, of which about 8 per cent is due by the end of the next financial year.
In AEL, where the promoters held 72.6 per cent stake before the sale, 3.8 crore shares or 3.39 per cent stake were sold for Rs 5,460 crore.
In APSEZ, where promoters held 66 per cent stake, 8.8 crore shares or 4.1 per cent shareholding were sold for Rs 5,282 crore.
2.8 crore shares or 2.5 per cent stake in ATL, where promoters held 73.9 per cent stake, were sold for Rs 1,898 crore.
In AGEL, where promoters held 60.5 per cent stake, 5.5 crore shares or 3.5 per cent stake were sold for Rs 2,806 crore.
“GQG Partners, a leading US-based global equity investment boutique, today announced the completion of Rs 15,446 crore (USD 1.87 billion) in a series of secondary block trade transactions in Adani portfolio companies – APSEZ, AGEL, ATL and AEL. said in the statement.
Jefferies India Private Limited acted as the sole broker for the transaction.
“I am excited about opening positions at Adani companies,” said Rajeev Jain, President and CIO, GQG Partners. “Adani companies own and operate some of the largest and most important infrastructure assets across India and around the world. Gautam Adani is widely regarded as among the best entrepreneurs of his generation.
“We believe the long-term growth potential for these companies is substantial, and we are pleased to invest in companies that will help advance India’s economy and energy infrastructure, including their energy transformation over the long term,” he added. also includes.”
Adani Group CFO Jugeshinder (Robbie) Singh said the transaction with GQG reflects the continued confidence of global investors in the governance, management practices and growth of the Adani portfolio of companies.
India’s total electricity generation capacity is more than 390 GW and renewable energy is more than 100 GW. Last year at the United Nations Climate Change Conference, the Indian government announced that India would have 500 GW of non-fossil fuel capacity by 2030.
“Adani Group plans to supply 45 GW (9 per cent of India’s renewable energy) to the country by 2030,” the statement said.
“Adani Electricity Mumbai Limited, the distribution arm of ATL (committed to Net Zero by 2050) has a legally binding target to increase renewable energy penetration from 3 per cent in FY21 to 60 per cent by FY27.”
APSEZ has committed to be carbon neutral by 2025 and to be a leader in the development of sustainable transport utility. “AEL, through its wholly owned subsidiary Adani New Industries Limited, is committed to create, over the next 9 years, a new green hydrogen vertical focused on decarbonization of industrial energy and mobility,” it said.
The investment comes at a time when the Adani group has been accused of stock manipulation and accounting fraud by US-based short seller Hindenburg Research.
Though the group has denied all allegations and responded to the allegations with detailed replies, shares of group companies have declined. However, they have recovered some of the losses incurred in the last two trading sessions.
Headquartered in Florida, GQG had offices in New York, London, Seattle and Sydney. It is listed on the Australian Securities Exchange and manages $92 billion in client assets as of January 31.
(Except for the headline, this story has not been edited by NDTV staff and is published from a syndicated feed.)
(Disclaimer: New Delhi Television is a subsidiary of AMG Media Networks Limited, an Adani Group Company.)
featured video of the day
Nirmala Sitharaman, US Treasury Secretary meet ahead of Bengaluru G20 meet
