Shares of Adani Enterprises rose marginally in early deals on Thursday after the Adani Group firm’s arm Adani Airports Holdings Ltd (AAHL) said it has raised $750 million from a consortium of international banks, including First Abu Dhabi Bank, Barclays PLC, and Standard Chartered Bank.
AAHL, which is India’s largest private airport operator, raised the funds via external commercial borrowings, a stock exchange filing said.
The stock of the parent firm Adani Enterprises recorded a marginal gain of 0.21 percent at Rs 2,496 on BSE at 9:24 am today. Market cap of the firm stood at Rs 2.88 lakh crore on BSE.
Total 2818 shares changed hands amounting to a turnover of Rs 1.29 crore on BSE.
Adani Enterprises stock has a one-year beta of 1.6, indicating very high volatility during the period.
In terms of technicals, the relative strength index (RSI) of Adani Enterprises stands at 52.9, signaling it’s trading neither in the overbought nor in the oversold zone. The stock is trading lower than the 5 day, 10 day, 200 day but higher than the 20 day, 30 day, 50 day, 100 day, 150 day and 200 day moving averages.
The stock has fallen 20 in a year and lost 2,23% this year.
The funds raised will be utilized to refinance existing debt, invest in infrastructure upgrades and capacity expansion across its six airports viz. Ahmedabad, Lucknow, Mangaluru, Jaipur, Guwahati, and Thiruvananthapuram, the company statement said. The proceeds will also be used to scale the non-aeronautical businesses, including Retail, F&B, duty free and services across the airport network, it said.
“The trust placed in us by leading global financial institutions underscores the long-term value and potential of India’s aviation infrastructure. AAHL is well on its path to deliver exceptional customer experiences, leveraging technology for seamless operations, and prioritizing sustainability and community engagement across its airport network,” said Arun Bansal, CEO of AAHL.
The company had appointed Latham and Watkins LLP and Linklaters LLP as the English Law counsel for the transaction, while Cyril Amarchand Mangaldass and TT&A were the Indian law counsel.
AAHL was incorporated in 2019 as a 100% subsidiary of Adani Enterprises Ltd, the flagship company of the Adani Group. In line with its vision to be the global leader in integrated infrastructure and transport logistics, the Adani Group made its maiden venture into the airports sector by emerging as the highest bidder for the operation, management, and development of six airports: Ahmedabad, Lucknow, Mangaluru, Jaipur, Guwahati and Thiruvananthapuram, and signing concession agreements with the Airports Authority of India for all six airports.
Source: MSN
