IHC to invest $400 million in Adani Enterprises FPO

Abu Dhabi’s International Holding Company has invested $400 million or around Rs 3200 crore in Adani Enterprises follow-on public offer (FPO).  This full investment will represent 16% of the offer. 

According to the Reuters report, the company stated, “Our interest in Adani Group is driven by our confidence and belief in the fundamentals of Adani Enterprises Ltd; we see a strong potential for growth from a long-term perspective and added value to our shareholders.”

This is the second investment deal of IHC with Adani Group as IHC has invested around $2 billion last year. 

Further, Adani Enterprises is about to receive $1-1.1 billion (around 9000 crore) from investors in Middle East and Southeast Asia with the announcement expected on Tuesday when the FPO closes. 

However, the Adani Enterprises FPO has failed to lure investors on the 2^nd day of the offer. The issue receive only 3% subscription from all the categories, i.e., only 13.99 lakh shares, have been subscribed to against the offered 4.55 crore shares.