Adani Wilmar on August 9 informed the stock exchanges that it cannot comment on the media reports which are claiming that the Adani group is planning to sell its stake in the FMCG joint venture.
"We would like to clarify that we are unable to comment on media speculation and rumours and it would be inappropriate on our part to do so," Adani Wilmar said in a regulatory filing.
"We have made and will continue to make disclosures in compliance with our obligations under the SEBI Regulations, 2015 and our agreements with the stock exchanges," it added.
The statement came hours after Adani Wilmar's stock tanked by up to 4 percent intra-day trading, following reports that Adani Enterprises was exploring to offload its stake in the Mumbai-listed joint venture with Wilmar International.
Adani and Wilmar are equal partners in the JV which was formed in 1999. After an initial public offering (IPO) launched in February 2022 to raise Rs 3,600 crore, their shareholding came down to 43.97 percent each.
Adani has been considering a potential sale of its stake for the past few months, Bloomberg reported, citing sources who are privy to the development. Adani’s stake is the company, at current market prices, is worth about $2.7 billion.
At 12.19 pm, Adani Wilmar was trading 4 percent lower from the previous close at Rs 378 on BSE. Adani Enterprises was up almost a percent at Rs 2,496. The scrip settled at Rs 378.20 at the close of the market hours.
Deliberations related to the stake sale are at an early stage, and it also possible that Adani Enterprises may retain its shareholding, Bloomberg said. The spokespersons of Adani and Wilmar declined to comment on the report.
In 2023 so far, the shares of Adani Wilmar have declined by around 36 percent, bringing the company's value down to about $6.2 billion. The erosion in value is linked to the damning report against the Adani group released by the US-based short seller Hindenburg Research, which led to the group companies collectively losing over $150 billion in market value.
In the quarter ending June 2023, Adani Wilmar had reported a net loss of Rs 79 crore. This was attributed to the decline in edible oil prices, combined with the high-cost of inventory. The company's revenue from operations dropped 12 percent on-year to Rs 12,928 crore.
Discover the latest Business News, Sensex, and Nifty updates. Obtain Personal Finance insights, tax queries, and expert opinions on Moneycontrol or download the Moneycontrol App to stay updated!
Find the best of Al News in one place, specially curated for you every weekend.
Stay on top of the latest tech trends and biggest startup news.
