AGEL, ATL and AEL are market leaders in their sectors and form the Adani Group’s green energy portfolio. The Capital will be used for expanding business.
Dubai, NFAPost: The Abu Dhabi-based International Holding Company (IHC) will invest $2 billion in three companies owned by billionaire Gautam Adani, helping his ports-to-power conglomerate’s expansion plans.
The boards of Adani Green Energy (AGEL), Adani Transmission (ATL) and Adani Enterprises (AEL) approved on Friday IHC’s investment through the preferential allotment route.
The investment is subject to shareholder and regulatory approvals. IHC will invest Rs 3,850 crore in AGEL and Rs 3,850 crore in ATL l. It will invest Rs 7,700 crore in AEL. The transaction is expected to be completed in a month, after approvals. The Adani companies will use the capital for expanding business, strengthening balance sheets, and for general corporate purposes.
“We are delighted to commence this inter-generational relationship with IHC. We are deeply committed to the shared vision and values of investment in sustainable infrastructure, green energy and energy transition,” said Sagar Adani, executive director of AGEL.
“This is a landmark transaction and marks a start of a wider relationship between the Adani Group and IHC and attracting further investment from UAE into India,” he said.
AGEL, ATL and AEL are market leaders in their sectors and form the Adani Group’s green energy portfolio. Syed Basar Shueb, chief executive officer and managing director of IHC, said his company is committed to long-term investments in India.
“The opportunity to earn a compelling return on investment in green energy has never been greater. We are confident that Adani companies will play a significant role in unleashing India’s total green energy potential, reflecting positively on our shareholders’ commitment,” he said.
IHC was set up in 1998, as part of an initiative to diversify and grow non-oil business sectors in the UAE.