Adani Enterprises BOD Approves Rs 16,600 crore Fundraise Via QIP Route

Adani Group's growth momentum seems to be returning to normal. On Tuesday, May 28, 2024, the board of Adani Enterprises approved fundraising of Rs 16,600 crore via a QIP route.

Earlier, in May 2023, Adani Enterprises received board approval to raise Rs 12,500 crore through a QIP but did not proceed with the fundraising.

On Monday, Adani Energy Solutions raised up to Rs 12,500 crore through qualified institutional placement or other permissible mode.

Following today's announcement, Adani Enterprises stock price was trading Rs 3,320. The shares of Adani Enterprises have erased all the losses seen during the Hindenburg crisis last year, due to which Rs 20,000 crore FPO was cancelled.

What Adani Enterprises Said Regulatory Filing?

In the regulatory filing, Adani Enterprises said "We wish to inform you that the Board of Directors has inter-alia approved raising of funds by way of issuance of such number of equity shares having face value of Rs 1 each of the Company or other eligible securities or any combination thereof for an aggregate amount not exceeding Rs 16,600 crore or an equivalent amount thereof by way of qualified institutional placement or other permissible mode in one or more tranches"

Adani is discussing the possibility of providing online shopping services through the open network for digital commerce. Once the plans are finalised, Adani could offer its services through Adani One, which launched in 2022. 

Adani Enterprises Financial Update

In the March quarter, Adani Enterprises reported a consolidated net profit of Rs 451 crore, compared to Rs 722.48 crore, down 38% year over year. 

Adani Enterprises' share price recently touched a 52-week high at Rs 3,457 per share. However, I witnessed minor profit bookings from the higher levels. After the fundraiser, we may see a recovery and new 52-week highs.