Adani Group seeking capital infusion from Abu Dhabi Inc
Adani Group seeking  capital infusion from Abu Dhabi Inc

The Adani Group and Abu Dhabi's International Holding Corp (IHC) have been in discussions since last week about infusing capital into Adani Enterprises or other group entities, sources aware of the development said.

The group representatives returned to Abu Dhabi on February 13 for further discussions, as per source.  Even though the exact amount of investments has not yet been determined, several of the individuals mentioned above claim they anticipate receiving between $1 and $1.5 billion. According to the study, no significant progress has been made as of yet.

These discussions might not result in a transaction, but they could still be regarded as preliminary. Senior company leaders have been in the Middle East over the previous week, including chairman Gautam Adani, group CFO Jugeshinder Singh, and others. The Abu Dhabi Investment Authority (ADIA) and other sovereign wealth funds (SWFs) have reportedly convened, as per reports.

Some have expressed interest in particular assets, such as the international airport of Mumbai, the recently purchased cement firms, or the Adani Port and SEZ. Adani had previously used its airport holding company to attempt to raise money. A board seat is also a topic of discussion.

The continuing decrease in stock prices has become a major obstacle, especially for any preferential distribution, despite the fact that promoters have reclaimed over a billion dollars' worth of pledged shares to lower loans. The Hindenburg report was released at the end of January, which also hurt the Adani company.

IHC has invested $400 million, the greatest amount, in the follow-on share sales of Adani Enterprises. Before money could be refunded, the business decided to cancel the share offer. The article also stated that IHC invested $2 billion in three Adani Group entities last year.

Meanwhile, on Tuesday, February 14, 2023, Adani Enterprises is expected to release financial results for the third quarter of the current fiscal year that ended in December 2022 (Q3 FY23). 

Adani Enterprises to release Q3 results on Feb 14, What to watch out for more

Adani cuts growth target, capex after Hindenburg repair moves

RS adjourned till 13 March amid protests by Oppn MPs


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