Gautam Adani's flagship firm, Adani Enterprises Ltd, has approved a Rs 16,600 crore share sale to large investors via a qualified institutional placement (QIP) issue. A QIP is, at its core, a way for listed companies to raise capital without having to submit legal paperwork to market regulators.
In a regulatory filing, the company said its board has set the floor price for the issue at Rs 3,117.4750 per equity share. The issue opens from Wednesday and the company has the discretion to offer a discount of up to 5 per cent on the floor price. The fundraising committee at its meeting held on October 9 finalised and adopted the preliminary placement document in the meeting.
SBI Capital Markets Limited, Jefferies India Private Limited and ICICI Securities Limited have been appointed as the book-running lead managers for the issue. Cantor Fitzgerald & Co. Has been appointed as an advisor for the issue.
Adani Enterprises said the QIP committee at its meeting held on Wednesday passed resolutions authorising the opening of the issue on October 9, 2024, approved the floor price for the issue, and approved and adopted the preliminary placement document.
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Adani Enterprises had in January last year planned to raise Rs 20,000 crore through the country's largest Follow-on Public Offer (FPO) by selling shares between Rs 3,112 to Rs 3,276 per share. Just before the FPO opened, Hindenburg Research came out with a damning report against the group, which sent the stock prices plummeting. Though the FPO received a full subscription, the company called off the sale and returned the money. Vodafone Idea's recent Rs 18,000 crore fundraise is the largest FPO in India.
(Except for the headline, this story has not been edited by DNA staff and is published from PTI)
