BENGALURU (Reuters) -Three Adani Group firms are considering raising up to $5 billion, Bloomberg News said on Thursday, months after a mega $2.5 billion share sale by the Indian group’s flagship firm fell through in the wake of a scathing short-seller report.
Adani Enterprises Ltd, Adani Green Energy Ltd and Adani Transmission Ltd, part of billionaire Gautam Adani’s conglomerate, may raise between $3 billion and $5 billion, the report said, citing people familiar with the matter.
The three companies said on Wednesday they were holding board meetings on Saturday to consider proposals to raise funds. They did not disclose how much they intended to raise.
Abu Dhabi-based International Holding Co, which has invested almost $2 billion in Adani companies, does not plan to take part in any potential share or bond sales, IHC’s spokesperson Ahmed Ibrahim told Reuters.
“At this point, IHC has no intention of participating in or joining any potential equities or bonds sales by Adani or any other party,” Ibrahim said.
“If anything changes, IHC will disclose the same to the market as per the governor’s rules and regulations.”
Adani Enterprises, Adani Green Energy and Adani Transmission did not immediately respond to Reuters’ requests for a comment.
The stocks of the conglomerate’s seven listed companies cratered earlier this year after U.S. short-seller Hindenburg Research accused the group of unlawful use of offshore tax havens and stock manipulation. Adani has denied the allegations.
The stocks are still off more than $110 billion in value since the report.
(Reporting by Yagnoseni Das in Bengaluru; Editing by Savio D’Souza and Shilpi Majumdar)
