Investors have ordered about 100% of the total shares offered for sale Adani . Enterprise Company Limited. — India’s biggest next share sale, exchange data shows just before the Mumbai stock market closes on Tuesday. The surge in demand occurred after a lukewarm response in the first two days since the offer was opened for retail investor and other categories on January 27.
Gautam Adani is out of the list of the top 10 billionaires in the world, just 3 days after the report of Hindenburg Research
High risk for Adani, who has suffered one of the world’s biggest drops in personal wealth after Hindenburg last week accused his conglomerate of using a network of companies in tax havens. to inflate sales and stock prices even as debt piles up. The successful deal signals that he still has the ability to attract investors with his bold expansion plans in industries from green energy to ports and e-commerce.
“One market concern seems to have disappeared,” said Deepak Jasani, head of retail research at HDFC Securities Ltd. .”
‘Hindenburg reports boost: Adani Group CFO after company loses $6 billion in one day
While the last-minute spike in demand is a win for Adani after the Hindenburg report casts doubt on the offering, it’s unlikely to completely dispel investor concerns about governance. corporate enterprise.
Furthermore, individual investors bid for more than 10% of the shares offered to them in the sale – undermining the group’s primary goal of expanding its investor base. Adani Corporation Chief Financial Officer Jugeshinder Singh said in November that after tapping strategic investors in recent years, the group is looking for a broader investor base that doesn’t mind an investment firm. Investing in long-term projects can take time to turn a profit.
Order books for institutional and retail investors were opened within days of a harsh report by US short seller Hindenburg. The attack led to a massive sell-off in shares of Adani Group, eroding more than $69 billion in the combined market value of the 10 companies and sending shares of the leading company below the asking price. sell.
Prestigious Adani
Failure to meet its fundraising goal would be a blow to Adani’s reputation and would raise concerns about the group’s debt burden.
Among the most notable buyers is Abu Dhabi International Corporation, which on Monday said it will invest about $400 million. The funding from IHC, which is controlled by a key member of the emirate’s royal family, will represent about 16% of the offering and follows a nearly $2 billion investment in the emirate’s companies. Adani last year.
The fully registered offering removes an overhang from India’s $3.2 trillion stock market, which just dropped out of the world’s top five by value. amid the Adani sell-off. The S&P benchmark BSE Sensex has posted gains over the past two days, following a consequential decline from Adani’s allegations last week.
“Now then Adani’s FPO Sumeet Rohra, a fund manager at Smartsun Capital Pte, said. In Singapore.
Clock Adani FPO fully registered as demand spiked on last day
