Adani Enterprises FPO: According to the Hindenburg Report, the FPO was attacked by Adani Enterprises, the Adani Group company. On Monday, Abu Dhabi-based International Holding Company announced it would invest $400 million in FPO through a subsidiary. It has already invested around US$2 billion in group companies.
According to ET, Adani had taken several flights to Abu Dhabi, Doha and Riyadh for this. He was joined by CFO Singh and nephew Sagar Adani, Executive Director of Adani Green Energy. The seeds of the strategic merger were sown last summer, but they really came to fruition this week as Adani shares fell in the wake of the Hindenburg report.
first two days cold reaction
For the first two days, the FPO received a very lukewarm response. But on the last day I got a tremendous response. The FPO is fully signed. According to the data, the Rs 20,000 crore FPO received overwhelming support from non-retail investors on Tuesday, the last day of trading. According to BSE data, non-institutional investors (NIIs) have placed bids for the shares more than three times against the 96.16 lakh shares reserved for them. The 1.26 billion shares reserved for Qualified Institutional Buyers (QIBs) were almost fully subscribed. However, private investors and employees of the company showed disinterest in the FPO.
These giants crossed the boat
HIC came first to save Adani’s declining reputation. This company is a company associated with the royal family of the United Arab Emirates. The President’s brother, Sheikh Tahnoon bin Zayed Al Nahyan, runs it. At the time of the crisis, IHC came forward and announced an investment of Rs 3200 crore at a time. To do this, Adani and his team called IHC Chairman Sheikh Tahnoon bin Zayed Al-Nahyan and Chief Executive Syed Basar Shuaib.
Also read: These experienced investors have invested money in Adani Enterprises FPO
According to media reports, only 40 people worked in this company until 3 years ago. Syed Basar Shuaib, Chief Executive Officer of IHC, said: “We see strong growth potential and shareholder value from a long-term perspective. Our interest in Adani Group stems from our confidence in the financial health of Adani Enterprises.” AEL shares then posted a 2.5% gain for the day, although still trading below the minimum price set for the offer of Rs 3,112 and almost 15% below the stock’s closing price on Jan. 24. Now even small business groups from Qatar, Bahrain and the UK came forward to support the stock in the non-institutional category. Let us tell you that Qatar Investment Authority was Adani’s earliest partner – they had invested in 2019.
The Qatar Investment Authority was Adani’s first partner. In 2019 he invested US$450 million in Adani Electricity Mumbai Limited which was acquired by Anil Ambani. Adani’s supporters include a Delhi industrialist, three pharmaceutical billionaires from Gujarati and Steel from Mumbai. According to three independent sources, the Delhi-based industrialist, who previously sold his stake in the renewable energy joint venture to Adani Green, has invested over Rs. 1,000-1,200 crore, representing the largest stake. On Tuesday, 9 trillion rupees were invested in this Adan Group FPO by some family offices in India and Dubai.
