Adani Green Energy promoters to infuse ₹9,350 crore via preferential issue, stock rises 4%

livemint.com:

Adani Green Energy, on Wednesday, announced that its promoters are set to inject ₹9,350 crore into the company through the preferential issuance of warrants, with each warrant priced at ₹1,480.75. The allocated funds will be predominantly use to reduce leverage on the balance sheet and support capital expenditure, the company said in a press release. The investment initiative uplifted investor sentiment, leading to an extension of Adani Green Energy's gains for the day.

The stock saw an uptick of 4%, reaching a value exceeding ₹1,600. The issuance of warrants to promoters is contingent upon shareholders' approval, and Adani Green is scheduled to convene an extraordinary general meeting (EGM) on January 18 to address this matter. “This investment by the Adani family underscores our commitment not only to making our nation’s clean energy dream a reality but also to an equitable energy transition where we phase down traditional power sources while simultaneously phasing up green, affordable alternatives to fuel our accelerating growth and development plans," said Gautam Adani, Chairman of the Adani Group.

With the injection of funds, Adani Green finds itself strategically positioned to realize its accelerated growth trajectory, according to Adani. Previously, Adani Green unveiled a $1.36-billion facility earmarked for the development of 2,167 MW solar power projects in Khavda, Gujarat—the largest solar park in India. Furthermore, the company disclosed a $1.43 billion equity capital infusion ($1.13 billion from preferential issuance by promoters and $300 million from the TotalEnergies joint venture).