Shares of Adani Ports closed 1.5% higher, rising along with other group shares on the day
Adani Ports and Special Economic Zone, India's largest private port operator, will raise up to 50 billion rupees ($600.6 million) by selling non-convertible bonds, it said on Wednesday.
Billionaire Gautam Adani has been redesignated as executive director from managing director and his son Karan Adani has been redesignated as managing director from CEO, the company added.
Former Nissan Motors Chief Operating Officer Ashwani Gupta was appointed CEO in place of Karan Adani.
The company, part of the Adani conglomerate, did not specify what it will use the proceeds for.
Adani Ports, which operates 13 ports and terminals in India, last raised $600 million in December by issuing bonds and using the proceeds to refinance its debt.
The company's cash and cash equivalents stood at Rs 72.90 billion as of September 30, 2023, while its net debt was approximately Rs 387 billion.
Adani Group companies have been raising money for capital expenditure since early 2023 and have plans to spend seven trillion rupees on infrastructure projects over the next decade.
However, the group's fundraising efforts took a hit early last year after US short seller Hindenburg Research alleged the group had made improper use of tax havens and stock manipulation, which the group denies.
The report sparked a sell-off that left the group losing about $150 billion and increased regulatory scrutiny. It has since won the support of bankers and investors and its shares have cut losses to about $47 billion.
Earlier in the day, India's Supreme Court granted the group a further reprieve, saying it would not have to face further investigations beyond the market regulator's current oversight.
Shares of Adani Ports closed 1.5% higher, rising along with other group shares on the day.
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First print: January 3, 2024 | 5:32 PM IST