Adani Enterprises FPO sees dull demand, booked 0.01x on day 1 so far. Check subscription status


Adani Enterprises Ltd’s follow-on public offer (FPO) worth 20,000 crore kicked off on Friday. It will sell shares in the price band of 3,112 to 3,276 apiece and the issue will close on January 31, 2023. The Adani Group company on Wednesday said it has raised 5,985 crore from anchor investors ahead of the offer.

As of 4:25 pm on day 1, the Adani Enterprises’ FPO has been subscribed 0.01x, with retail investors’ booked 0.02x, employee reserved 0.04x, whereas NIIs and QIBs yet to bid, showed the BSE data.

The company has said that the net proceeds of the FPO will be used for debt repayment and capital expenditure of Adani Enterprises Ltd and its subsidiary companies. The tentative date for share allocation is 3rd February 2023 and Link Intime India Private Ltd has been appointed as official registrar of the FPO.

The Adani Group stocks continued to remain under pressure on Friday, falling up to 20% in morning trade, after the US-based investment research firm Hindenburg Research made damaging allegations. Shares of Adani Total Gas plummeted 19.65 per cent, Adani Transmission tumbled 19%, Adani Green Energy plunged 15.5% and Adani Enterprises tanked 6% on the BSE. Also, Adani Ports and Special Economic Zone fell 5%, Adani Wilmar dipped 5% and Adani Power declined 5%. 

The Adani Group on Thursday said it is examining legal options to take ‘punitive action’ against Hindenburg Research for its ‘reckless’ attempt to sabotage a mega share sale at the conglomerate’s flagship firm – a statement that the US activist investor responded by saying it stands by its report that alleged ‘brazen’ market manipulation and accounting fraud by the group.

Sensex and Nifty ended more than 1% lower to hit a three-month low on Friday as Adani Group companies triggered a selloff in its shares and of the banks, wiping off a combined $48 billion in the conglomerate’s market value over two days.

Meanwhile, India’s market regulator will study the Hindenburg Research report to add to its own ongoing preliminary investigation into the group’s foreign portfolio investors, two sources told Reuters on Friday.

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Article Source:Money Control

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