Adani Energy QIP Bags $350 Million From Mutual Funds

Mutual funds have invested $350 million in the $1 billion qualified institutional placement of Adani Energy Solutions Ltd., with SBI Mutual Fund leading, according to people with knowledge about the matter. SBI Mutual Fund's investment was Rs 800 crore.

The QIP, which was launched Tuesday, was oversubscribed five times with demand of approximately Rs 26,000 crore, marking the largest transaction in India's energy space, said the people, who asked not to be identified.

Bandhan Mutual Fund, Nomura, 360 One Wam, and India Infoline were some of the domestic institutions that participated in the QIP, and long-only global infrastructure investors, including GQG Partners, QIP, and Abu Dhabi Investment Authority, along with a few new names from the US, have also participated, the above-quoted people told NDTV Profit.

The QIP closed with a listing discount of 14% at Rs 1,135 per share, compared to the issue price of Rs 976 per share.

The company launched a qualified institutional placement on Tuesday to fund expansion plans, with its floor price fixed at Rs 1,027.1 per share.

Shares of the company jumped as much as 3.90% on Wednesday to hit Rs 1,168.80, its highest level since June 4. It pared gains to trade 0.6% higher at Rs 1,131.60 as of 2:35 p.m. This compares to 0.4% advance in the Nifty.