Team Blitz India
NEW DELHI: The Adani Enterprises ‘ board has approved plans to raise Rs 16,600 crore through the Qualified Institutional Placement (QIP) route, the company said in an exchange filing on May 28.
QIP is a capital-raising mechanism predominantly used in India. It allows listed companies to issue equity shares, fully and partly convertible debentures, or other securities (excluding warrants) convertible to equity shares to qualified institutional buyers (QIBs).
“We wish to inform you that the Board of Directors… has inter-alia approved raising funds by issuing equity shares with a face value of Re 1 each of the Company and/or other eligible securities for an aggregate amount not exceeding Rs 16,600 crore. This will be achieved through QIP or other permissible modes in one or more tranches,” Adani Enterprises said.
The decision is contingent upon obtaining necessary approvals, including a nod at the Annual General Meeting (AGM) scheduled for June 24, and other regulatory consents.