adani transmission stock update: Adani Enterprises, Transmission to raise funds totalling Rs 21,000 crore via QIP

The fund raising exercise would be conducted by way of issuance of shares and/or other eligible securities by way of QIP or other permissible mode, the two companies said in separate regulatory filings after board meetings.

Group firm Adani Green Energy, which was also scheduled to announce fundraising plans today after a board meeting, has rescheduled it to May 24.

The fundraising is expected to ease concerns of the Group’s ability to service its debt and will help in instilling some confidence among investors.

Allegations made by the US-based short-seller Hindenburg Group have battered investor confidence and drove share prices down, but billionaire Gautam Adani had asserted that the conglomerate’s business plans won’t be affected.

Adani Group in early March raised about $1.9 billion selling shares in four firms to US investment firm GQG Partners, holding investor roadshows and prepaid debt as they raced to bolster confidence and repair the damage from short seller’s accusations.

The fundraising comes even as the Adani Group is in the middle of an ongoing investigation by a Supreme Court-appointed panel as well as market regulator Sebi.The Supreme Court had on March 2 asked Sebi to probe within two months the allegations against theGroup and also set up a panel to look at providing protection to investors after the Hindenburg wiped out more than $140 billion of the conglomerate’s market value.

Sebi had sought a six-month extension to complete investigation but the apex court on Friday said it will not grant the regulator indefinite time and accord it three months to conclude the investigation.

A bench headed by Chief Justice D Y Chandrachud fixed May 15 for hearing a batch of PILs on the Adani-Hindenburg row as also an application by SEBI seeking extension of time to complete the probe into alleged stock price manipulation by the Adani group.

The apex court said it was to ascertain whether there was a regulatory failure that it had appointed an expert committee whose report it has received.

The scope and ambit of the Sapre panel was to provide an overall assessment of the situation, including the relevant causal factors that have led to volatility in the securities market in the recent past.

The panel was asked to suggest measures to strengthen the statutory and/or regulatory framework and secure compliance with the existing framework for the protection of investors.

Till now, 4 PILs have been filed in the top court on the issue including by lawyers M L Sharma and Vishal Tiwari and Congress leader Jaya Thakur.