Foreign investments

Adani Group shares rise after $2 billion in foreign investment

New Delhi: Shares of Adani Green Energy, Adani Transmission and Adani Enterprises surged on Monday in an otherwise broader market.

Shares of Adani Green Energy were stuck in the upper 20%, Adani Transmission locked in the upper 10% and Adani Enterprises rose 0.4%.

Analysts attribute the rise in share prices to International Holding Company PJSC (IHC), the Abu Dhabi-based conglomerate’s $2 billion investment as lead capital in these Adani Group companies.

On Friday, the boards of directors of the three Adani companies met and approved the transaction.

This investment demonstrates the shared vision and commitment of the Abu Dhabi-based company and the Adani portfolio to invest in sustainable businesses that are leading the charge in energy transition, the group said.

The company will invest Rs 3,850 crore in AGEL, Rs 3,850 crore in ATL and Rs 7,700 crore in the three companies respectively, in line with SEBI regulations.

The transaction is expected to be finalized within a month, once all necessary approvals have been obtained. The capital will be used to further grow the respective businesses, further strengthen the balance sheet and for general corporate purposes, the regulatory filing said.

Besides the three stocks in which received foreign investment, shares of other Adani Group companies such as Adani Power, Adani Total Gas, Adani Wilmar and Adani Ports also rose on Monday.