International Holding Company invests $400 million in Adani Enterprises Fpo
This is IHC’s first investment for the new year.
International Holding Company PJSC, based in Abu Dhabi, subscribed to 16% of the additional public offering (FPO) of Adani Enterprises by investing a sum of 400 million dollars.
International Holding Company will invest in the FPO through its subsidiary Green Transmission Investment Holding RSC Ltd.
This is IHC’s first investment of the year. The company aims to continue exploring business opportunities in Europe, Africa, Asia and South America.
IHC CEO Syed Basar Shueb said they are confident in the fundamentals of Adani Enterprises and see strong growth potential from a long-term perspective and added value for their shareholders.
The transaction will be subject to the completion of all necessary procedures and after obtaining all regulatory approvals.
International Holding Company has already invested nearly $2 billion in three Adani Group companies – Adani Green Energy, Adani Transmission and Adani Enterprises – last year.
The investor’s business interests include healthcare, real estate, agriculture, catering, and IT, among others.
Adani Enterprises FPO has been the topic of discussion ever since a research firm named Hindenburg made various allegations against the group, which prompted a host of responses and counter-arguments from both sides.
According to the latest update, the FPO of Adani Enterprises has been underwritten at 2%. The problem closes tomorrow. Chief Financial Officer Singh said he was confident the issue would face no hurdles to full subscription, despite share prices falling well below the lower end of the price range.
Shares of Adani Enterprises ended up 4.7% on Monday after a volatile trading day. The stock lost nearly 20% on Thursday and Friday, falling well below the lower end of the Rs 3,112 FPO price range.
First post: January 30, 2023 4:55 p.m. STI
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