Adani Group's $1 Billion Share Sale Draws Investment from Abu Dhabi and Qatar Funds

The Abu Dhabi Investment Authority (ADIA) and Qatar Investment Authority (QIA) have participated in Adani Energy Solutions' (ADAI.NS) share sale in India, contributing up to $1 billion, according to two sources. This marks the first such investment for Adani Group since a critical report from short-seller Hindenburg Research last year.

This fundraising effort is Adani Group's first venture into equity markets following the cancellation of a $2.5 billion share sale in February last year. The cancellation came after U.S.-based Hindenburg Research accused the group of improper use of offshore tax havens and stock manipulation, allegations that Adani has consistently denied.

In addition to ADIA and QIA, the investor list, which includes over 50 entities, also features GQG Partners, Nomura, and India's Bandhan Mutual Fund. The sources, who have direct knowledge of the deal, chose to remain anonymous as the names of the investors are not publicly disclosed.

The investment represents a significant boost for Adani, which has successfully regained investor confidence after the Hindenburg report triggered a sell-off that wiped out more than $100 billion from the group's stock value. Since then, the shares have made a considerable recovery.

Source: Dhwani Pandya and Jayshree P Upadhyay / Reuters