IHC from Abu Dhabi Elevates Holding in Adani Enterprises to 5.04%

Abu Dhabi’s International Holding Company (IHC) has boosted its stake in Adani Enterprises Ltd (AEL) by 0.06% to reach 5.04%, as disclosed in an exchange filing on Tuesday. This development follows IHC’s divestment of its holdings in Adani Green Energy and Adani Transmission just last week. The estimated value of the 0.06% stake stands at ₹153.6 crore, based on Tuesday’s volume-weighted average price of Adani Enterprises.

In response to this increase in stake, a spokesperson from the Adani Group expressed their satisfaction with IHC’s decision, emphasizing the validation of AEL’s status as a global leader in nurturing new businesses, particularly in sustainable infrastructure, global aviation infrastructure development, and equitable energy transition. They viewed IHC’s enhanced stake as a strong endorsement of AEL’s solid capital expenditure plans, governance, and transparency. The spokesperson also highlighted the significance of the long-term partnership with IHC, showcasing India’s growth potential and the substantial returns it offers to stakeholders.

IHC, in a statement to the Abu Dhabi stock exchange, described this strategic increase as a testament to their belief in AEL’s world-leading incubation model. They emphasized the strength of AEL’s airports, data centers, green hydrogen initiatives, and other businesses, showcasing its ability to leverage India’s robust growth trajectory. IHC expressed its continued interest in exploring distinctive investment opportunities in India to maximize returns for stakeholders.

Last week, IHC had announced the sale of its 1.26% stake in Adani Green Energy Ltd and 1.41% stake in Adani Energy Solutions as part of a portfolio rebalancing strategy.

As of the June quarter, IHC’s Green Vitality Rsc Ltd. and Green Enterprises Investment Holding Rsc Ltd. collectively owned 4.55% of AEL. On Tuesday, Adani Enterprises’ shares closed 1.02% lower at ₹2387.55 per share on the BSE.

Global investors, following concerns raised by short-seller Hindenburg in January, have started to regain confidence and invest in the conglomerate. According to Reuters, French oil major Total Energies invested $300 million in Adani Green Energy last month to establish a joint venture for wind and solar farm development. Previously, the sovereign fund Qatar Investment Authority (QIA) had invested $500 million for a 2.7% stake in Adani Green Energy. In August, investment firm GQG Partners acquired an 8.1% stake in Adani Power for $1.1 billion via block deals.

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