Gautam Adani & Family To Pump In Rs 9,350 Crore In Adani Green Energy

Chairman of Adani Group Gautam Adani and his family will pump in Rs 9,350 crore into conglomerate's green energy arm to equip it to achieve the 45 GW target by 2030 and to meet debt payment obligations, according to a company filing. The board of Adani Green Energy Ltd (AGEL) on Tuesday approved the plan to issue 6.31 crore warrants at Rs 1,480.75 apiece to promoter group companies, Ardour Investment Holding Ltd and Adani Properties Pvt Ltd.

In a filing, the company said, the investment of Rs 9,350 crore "will be used for deleveraging and accelerated capital expenditure" in AGEL. The investment would give the promoter group firms 3.833 per cent equity stake in the company. The company has bond maturities worth $1.2 billion coming up next year and it has already begun outlining plans for repaying or refinancing those.

The fund infusion is part of Adani's comeback strategy, since it was hit by damaging allegations of corporate fraud by Hindenburg Research in January. While the company denied any wrongdoing, Adani Group companies lost over $50 billion in market value at the lowest point. Some of that loss has been recovered in months thereafter.