Adani Energy Solutions Ltd has launched launched a Qualified Institutional Placement (QIP) on July 30, 2024, to raise ₹6,000 crore.
What is a Qualified Institutional Placement (QIP)?
A Qualified Institutional Placement (QIP) is a means for listed companies to raise more capital without the necessity of submitting legal paperwork to the market regulator, with only certain institutional investors called qualified institutional buyers (QIBs) being authorised to buy the securities from the companies.
“We further wish to inform you that the ‘Relevant Date’ for the purpose of the Issue, in terms of Regulation 171(b) of the SEBI ICDR Regulations, is 30th July, 2024 and accordingly the floor price in respect of the aforesaid Issue, based on the pricing formula as prescribed under Regulation 176(1) of the SEBI ICDR Regulations is ₹1,027.1125/- per Equity Share,” the company wrote in its exchange filing.
What is the pricing for the QIP?
The floor price for the QIP is ₹1,027 per share, with investors being allowed a maximum discount of 5% on the floor price, according to a CNBC-Awaaz report, which added that the demand for the QIP has already exceeded three times the number of available shares.
GQG, ADIA, Qatar Fund, as well as US-based funds are participating in the QIP, along with Axis MF, Eastspring, White Oak, Nomura, Bandhan MF, and IIFL, according to the report.
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“SBI Capital Markets Limited, Jefferies India Private Limited and ICICI Securities Limited have been appointed as the book running lead managers for the Issue (“BRLMs”). Cantor Fitzgerald & Co. is the advisor in connection with the issue.
Adani Energy Solutions saw a 47% rise in consolidated revenue of ₹5,379 crore for the first quarter of the financial year 2024-25, compared to the same quarter of the previous year.
Adani Energy Solutions shares closed at ₹1125.40 on the Bombay Stock Exchange after the trading session on Tuesday, July 30. This was a 6.95% or 73.15 point gain compared to the previous close.
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