Adani Enterprises Ltd. (AEL), led by Gautam Adani, managed to raise Rs 4,200 crore through a qualified institutional placement (QIP). The company has allotted 1.41 crore shares to qualified institutional buyers (QIBs) at an issue price of Rs 2,962 per share. This transaction was initiated on October 9, 2024, after the market closed and concluded on October 15, 2024. As per reports, the transaction amount was around Rs 4,200 crore ($500 million).

QIP has seen strong demand, receiving offers approximately 4.2 times the deal size from various investor groups. This included long-term global investors, leading Indian mutual funds and insurance companies.

A QIP is a method for listed companies to raise capital without going through numerous regulatory formalities.

Last year, Adani Enterprises planned to raise Rs 20,000 crore in the country’s largest follow-on public offering (FPO), with shares valued between Rs 3,112 and Rs 3,276 each. However, just before the FPO opened, US-based Hindenburg Research released a report accusing the Adani Group of stock manipulation. This led to a sharp decline in the company’s stock price. Although the FPO was fully subscribed, the company canceled the sale and refunded the money.

On Thursday, Adani Enterprises shares fell 2.38 per cent, closing at Rs 3,012.20. During trading, it touched a low of Rs 2,993.40. The stock had touched its 52-week high of Rs 3,743 in June 2024.