Adani Energy Solutions Eyes $1B Fundraise with Upcoming QIP: Report

Adani Energy Solutions is likely to launch a qualified institutional placement (QIP) within two weeks.

What Happened: The company is looking to raise up to $1 billion (₹8,400 crore) through a QIP, The Economic Times reported on Tuesday. 

Adani Energy is preparing to launch its QIP following a month of roadshows, during which interest was expressed by US-based funds GQG Partners and Qatar Investment Authority and domestic mutual funds, the report added, citing people familiar with the matter.

It is likely to launch the QIP later this week or early next week to raise about $700 million-800 million, with the possibility of increasing it to $1 billion if demand warrants.

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ICICI Securities, SBI Capital Markets and Jefferies have been appointed as advisers. 

This marks the first equity fundraising by an Adani Group company since Adani Enterprises cancelled its ₹20,000 crore follow-on public offer (FPO) in February of last year, after having raised the funds.

Last year, Adani Enterprises and Adani Energy received board approvals to raise ₹12,500 crore and ₹8,500 crore, respectively, through QIPs, but they ultimately did not proceed with the fundraising. That approval was renewed in May.

In May, the board of Adani Group’s power transmission unit authorised raising ₹12,500 crore through equity to support expansion efforts.

Price Action: Shares of Adani Energy Solutions opened 1.35% higher at ₹1,066.15 on Tuesday morning.

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