Adani Group Raises $9 Billion from Marquee Investors, Reinforcing Confidence in Business Strength

The Adani Group has announced that it has successfully raised over $9 billion in the last four years from renowned global investors, including Qatar Investment Authority (QIA) and GQG Partners. Despite facing scrutiny earlier this year, the conglomerate has attracted substantial investments across its listed entities, namely Adani Ports and Special Economic Zone Limited (APSEZ), Adani Green Energy Limited (AGEL), Adani Transmission Limited (ATL), Adani Total Gas Limited (ATGL), and Adani Enterprises Limited (AEL).

According to a statement released by the Gautam Adani-led conglomerate, it has secured significant investments from prominent entities such as Qatar Investment Authority (QIA), TotalEnergies (TTE), International Holding Company (IHC), as well as GQG Partners (GQG), along with co-investors like Australia Super, Goldman Sachs, and the University of Texas.

Additional investments have been received from the Delaware Public Employees Retirement System, Master Trust Bank of Japan, Missouri Education Pension Trust, Abu Dhabi Investment Authority, Universal-Investment Luxembourg, New York State Common Retirement Fund, and Employees Retirement System of Texas.

In a recent development, the Adani family successfully raised $1.38 billion through stake sales in three portfolio companies—AEL, AGEL, and ATL. This capital infusion will provide enhanced financial resources at the group level, supporting growth and fulfilling near-term obligations in terms of debt and equity for the portfolio companies over the next 12-18 months. Additionally, the board of directors of these portfolio companies has granted approval for primary issuances.

The port-to-power conglomerate, which has witnessed a recovery in its shares recently, believes that the confidence and faith shown by these prominent global investors serve as a testament to the inherent strength of the group’s businesses and the Adani Group’s unwavering commitment to the highest standards of governance.

Earlier in March 2023, a similar stake sale by the Adani family raised $1.87 billion, leading to the complete prepayment of margin-linked, share-backed financing. This move not only created flexibility in a rising rate environment but also provided opportunities to optimize debt capital when required. Adani remains dedicated to raising capital in line with its 10-year transformative capital management program formulated in 2016 to support the strategic plans of its various portfolio companies.

The successful fundraising endeavors of the Adani Group reflect the confidence of global investors in the conglomerate’s businesses and its commitment to implementing robust governance practices. These substantial investments will fuel growth and enable the group to execute its long-term vision and strategic initiatives effectively.

Sources By Agencies