Adani Group raises funds to improve financial position

Ahmedabad, (Gujarat) [India] July 01 (ANI): The Adani Group has begun to raise an equity-raising program of INR 5,000 - 6,000 Crores through a combination of primary issuances and secondary monetization of several promoter groups.

According to an official release the proceeds from the equity issuances are to be utilized towards strengthening the financial position of group companies including deleveraging the power business.

It will also be used to partly fund the proposed acquisition of the integrated business of generation, transmission, and distribution of power for Mumbai City.

The Adani Family through trusts and other entities ("Sponsor Group") hold controlling interest in entities including Adani Enterprises Limited ("AEL"), Adani Ports and SEZ Limited ("APSEZ"), Adani Power Limited ("APL"), Adani Transmission Limited ("ATL") and Adani Green Energy Limited ("AGEL").

As part of this equity-raising program, the Promoter Group monetized a four percent stake in APSEZ through a market block trade raising INR 3,000 Crores on June 21 and June 29.

"High quality and long-term foreign institutional investors, Capital Group and Temasek enhanced their holdings in APSEZ. The participation from these long-term investors reiterates investor confidence in APSEZ's business and growth potential," said CEO, APSEZ, Karan Adani.

The Promoter Group does not intend to undertake any further monetization of its 62.3% stake in APSEZ for a period of 1 year and has provided an additional voluntary comfort to the above investors that the Promoter Group holding shall be retained till December 31, 2018. (ANI)

This story has not been edited. It has been published as provided by ANI