Abu Dhabi’s IHC to invest $2 billion in three Adani Group companies

Abu Dhabi based International Holding Company PJSC (IHC), will invest $2 billion as primary capital in three Adani portfolio companies – Adani Green Energy Ltd (AGEL), Adani Transmission Ltd (ATL) and Adani Enterprises Ltd (AEL)– through the preferential allotment route, AEL said today.

“The boards of AGEL, ATL and AEL have approved the transaction. The investment is subject to shareholder and regulatory approvals and shall comply with SEBI regulations,” AEL said in a regulatory filing.

The three Adani companies – AGEL, ATL and AEL span the Adani Group’s green portfolio.

IHC will invest Rs 3,850 crore in AGEL, Rs 3,850 crore in ATL and Rs 7,700 crore in AEL, in compliance with SEBI regulations.

Sagar Adani, Executive Director, AGEL said “We are committed to the shared vision and values ​​of investment in sustainable infrastructure, green energy and energy transition. 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.”

The transaction is expected to be completed in a month, after all necessary approvals are obtained. The capital will be utilized for pursuing the growth of the respective businesses, further strengthening of the balance sheet and for general corporate purposes, the company said.

Syed Basar Shueb, CEO and Managing Director of IHC, said “This will be a long-term investment in India as the country is driving much innovation globally, including the green energy sector. The opportunity to earn a compelling return on investment in green energy has never been greater.”