Adani Energy Solutions $1-bn QIP sees 6x demand; domestic MFs put in bids worth $325 mn

Adani Energy QIP sees 5x demand; domestic MFs put in bids worth $325 million

Trade

• Watchlist
• Portfolio
• Message
• Set Alert

 

 

live

• bselive
• nselive

Volume

Todays L/H

More

×

The $1-billion QIP offering of Adani group firm Adani Energy Solutions Limited saw strong investor interest on July 31, with the share sale seeing a demand of as much as 6 times the offer size, sources told Moneycontrol.

Moneycontrol first reported on July 30 that the Adani Energy QIP had evinced interest from global investors such as Rajiv Jain’s GQG Partners and Abu Dhabi’s sovereign wealth fund ADIA and International Holding Company.

According to sources, domestic mutual funds have bid for shares worth as much as $325 million (over Rs 2,700 crore) with mutual funds such as SBI MF, HDFC MF, TATA MF, Bhandhan, Axis and others putting in bids. SBI MF has bid for shares worth Rs 800 crore, sources said.

Other investors that showed interest in picking up Adani Energy Solution shares in the QIP include Blackrock, Jupiter, Nomura, ThinkInvest, WhiteOak, the sources added.

Moneycontrol reported on July 4 that Adani group companies Adani Enterprises Ltd and Adani Energy Solutions are gearing up to tap the markets soon by way of qualified institutional placement offerings  to raise as much as $2.5 billion.

On July 30, the board of Adani Energy Solutions approved the launch of the QIP offering with a floor price of Rs 1,027.11 per share. Companies can offer a discount of up to 5 percent on the floor price, as per SEBI regulations for QIPs.

As of 1.20 PM, shares of Adani Energy Solutions were trading at Rs 1,137.35 apiece, up 1.06 percent on the BSE.

The company plans to use the funds for capex requirements of some of its subsidiaries to set up transmission systems and purchase and installation of smart meters as well as for repayment of debt.