Shares Of The Adani Firms Soar, While Adani Enterprises Increases 11%
As the company sold minority investments in four of its publicly traded businesses to US-based GQG Partners for Rs 15,446 crore, shares of Adani enterprises increased in Friday morning session.
Adani Enterprises' stock soared 11% to Rs 1,784.95 per share on the Exchange.
Adani Transmission, Adani Green Energy, and Adani Total Gas all saw gains of 5%, while Adani Ports' shares rose 7.96%. Adani Power increased by 4.99%.
Adani Wilmar, NDTV, Ambuja Cements, and ACC all had gains of 4.99 percent, 4.98 percent, and 4.38 percent, respectively (3.69 per cent).
In early trading, the majority of group businesses also reached their upper circuit limits.
The BSE Sensex closed at 59,582.48 up 673.13 points, or 1.14 percent, on the larger market.
The troubled Adani Group has sold minority stakes in four of its publicly traded companies to GQG Partners for Rs 15,446 crore as it attempts to increase liquidity in advance of a USD 2 billion debt repayment that is due in the near future after recovering from a sell-off caused by a short-seller report.
Shares in Adani Green Energy Ltd., Adani Transmission Ltd., Adani Enterprises Ltd., and Adani Ports and Special Economic Zone Ltd. were also sold.
"GQG is investing in Adani portfolio companies," it said in a statement on Thursday. "These companies own and operate the largest private sector transmission and distribution platform in India, as well as the largest airport and port platform in India. By 2030, these companies will produce about 9% of India's renewable energy capacity.
Block transactions in the secondary market were used to complete the purchase.
The share sale is a component of the Gautam Adani-led group's recovery plan after a devastating report from an American short-seller caused the market value of the company to drop by more than USD 140 billion.
"The market may benefit from the US-based investment company GQG Partners' Rs 15,446 crore investment in four Adani equities. As the majority of this money would be utilized to pay off debt, the banks that had financed Adani enterprises won't be under any difficulty "V K Vijayakumar, chief investment strategist at Geojit Financial Services, said.
The 10 listed organizations of the Adani Group continued their winning streak on Thursday, with all of them finishing in the black.
All 10 of the Adani Group companies with publicly traded shares closed the day higher on Wednesday.
