GQG raises stake in Adani Ports to over 5 per cent, total investment in Adani Group crosses Rs 38,700 crore

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US-based boutique investment firm GQG Partners has raised its stake in Adani Ports & Special Economic Zone (APSEZ) to over 5 per cent as it continues to bet on billionaire Gautam Adani's group shrugging off market concerns.

The Fort Lauderdale, Florida-based GQG increased its stake in APSEZ from 4.93 per cent to 5.03 per cent by way of a bulk deal, according to stock exchange filings.

GQG now holds stakes in five of the 10 Adani Group firms. On August 16, it acquired a 7.73 per cent stake in Adani Power Ltd. Promoter group firms Worldwide Emerging Market Holding and Afro ASIA Trade And Investments sold 8.09 per cent stake in Adani Power through block deals on the same day.

GQG bought 7.73 per cent of this stake, filings showed. Following the stake sale, the promoter holding in Adani Power decreased to 66.88 per cent from 74.97 per cent.

GQG's investment comes shortly after Deloitte resigned as the auditor of APSEZ, renewing investor concerns, even as the group attempts to recover from the impact of a report by US short-seller Hindenburg Research.

The Hindenburg report, released on January 24, alleged accounting fraud, stock price manipulation, and improper use of tax havens, causing a significant drop in the market value, erasing around USD 150 billion at its lowest point.

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GQG, however, has disregarded the allegations and has been investing in Adani firms since May. GQG previously acquired a 5.4 per cent stake in Adani Enterprises, a 6.54 per cent stake in Adani Green Energy Ltd, and a 2.5 per cent stake in Adani Transmission Ltd.

GQG has invested a total of Rs 38,700 crore in Adani Group firms so far. Qatar Investment Authority (QIA) has invested Rs 4,100 crore in Adani Green Energy, and Bain Capital has contributed Rs 1,440 crore, which has helped rebuild investor confidence.

Additionally, the three portfolio companies have received board approvals for primary issuances through share sales to investors. Adani Enterprises plans to raise Rs 12,500 crore, Adani Transmission aims to raise Rs 8,500 crore, and Adani Green Energy is planning to raise Rs 12,300 crore.

Adani Green Energy is the renewable energy arm of the group, aiming to build a portfolio of 45 GW of capacity by 2030. Adani Enterprises is also exploring businesses like airports, roads, data centers, copper, and green hydrogen.

The Adani Group has announced plans to separately list its airports and road businesses in the next three to four years. Adani Green has grown rapidly and has emerged as the largest renewable energy player in India, targeting a portfolio of 45 GW by 2030. (PTI)