Ahmedabad: Adani’s family, FPO will return investors’ money

The Board of Adani Enterprises Limited (AEL) has decided not to proceed with the fully subscribed Follow-on Public Offer (FPO). Given the unprecedented situation and current market volatility, the company aims to protect the interests of its investment community by returning FPO proceeds and taking back completed transactions.

Adani Enterprises Limited Chairman Gautam Adani said, “The Board takes this opportunity to thank all investors for your support and commitment to our FPO. Subscription for the FPO has been successfully closed yesterday. Your faith and trust in the company, its business and its management has been very reassuring and humbling, despite the volatility in the stock over the past week. Thank you.

However, the market today has been phenomenal, and our share price has fluctuated during the day. In view of these extraordinary circumstances, the Board of the Company felt that it would not be ethically correct to proceed with the issue. The interest of the investors is paramount and hence to protect them from any possible financial loss, the Board has decided not to go ahead with the FPO.

We are working with our Book Running Lead Managers (BRLMs) to refund the proceeds held in escrow by us and also release the amount blocked in your bank accounts for subscription to the issue.

Our balance sheet is very healthy with strong cashflows and secured assets, and we have an impeccable track record of servicing our debt. This decision will have no impact on our current operations and future plans. We will continue to focus on long-term value creation and growth will be managed by internal resources. Once the market stabilises, we will review our capital market strategy. We are sure that we will continue to get your cooperation. Thank you for your trust in us.

About Adani Enterprises Limited

Adani Enterprises Limited (AEL), one of India’s largest business conglomerates, is the flagship company of the Adani Group. Over the years Adani Enterprises has focused on building emerging infrastructure businesses, contributing to nation building and creating and demerging them into separate listed entities.

Having successfully created unicorns such as Adani Ports & SEZ, Adani Transmission, Adani Power, Adani Green Energy, Adani Total Gas and Adani Wilbhar, the company, with its portfolio of strong businesses, has contributed significantly in making the country self-reliant. This has also given excellent returns to our stake holders.

Its strategic business investments are focused around the next generation, green hydrogen ecosystem, airport management, roads, data centers, and primary industries such as copper and petrochem, which have significant scope for value unlocking.