India's Adani Enterprises will use the proceeds of the ₹200 billion ($2.46 billion) follow-on public offering (FPO), beginning on January 27, for capital expenditure requirements and pay off some debt of its units.
The company will use ₹108.69 billion from India's biggest FPO to fund green hydrogen projects, airports facilities and greenfield expressways, the Indian billionaire Gautam Adani-helmed firm said in its latest prospectus.
It will also use ₹41.65 billion to repay the borrowings of three of its units, Adani Airport Holdings Ltd., Adani Road Transport Ltd., and Mundra Solar Ltd.
Adani Enterprises' prospectus did not specify a price band for the follow-on sale of shares that ends on January 31.
The proposed fund raise comes as the ports-to-energy conglomerate aggressively expands into sectors such as cement and healthcare, amid some concerns about its elevated debt levels and large promoter shareholding.
The group has made acquisitions worth $13.8 billion in 2022, as per Dealogic data, its highest ever in a year and more than double the previous year.
Adani Enterprises stock jumped almost 130% in 2022, and closed down 1.2% on Wednesday on the BSE.
Published - January 18, 2023 06:39 pm IST
