AESL raises $1 billion via QIP route

Ahmedabad: Adani Energy Solutions Ltd (AESL), on Monday said it has successfully completed its Rs 8,373 crore ($1 billion) Qualified Institutional Placement (QIP), the largest in India’s power sector.

This milestone underscores AESL’s prominent position as a leader in India’s energy transition solutions and highlights investors’ confidence in the country’s power sector outlook.

This QIP marks AESL’s first equity raise in the capital market since its demerger and listing from Adani Enterprises Limited (AEL) in July 2015.

AESL’s consistent double-digit EBITDA growth since 2016 is a testament to the successful incubation model of Adani Enterprises Limited.

The transaction was launched post-market hours on July 30, 2024 with a base deal size of Rs 5,861 crore ($700 million) and included a green shoe option to size up to Rs 8,373 crore ($1 billion).

The QIP saw overwhelming demand, receiving bids of approximately 6x of the base deal size from a diverse group of investors, including utility-focused US investors entering India for the first time, sovereign wealth funds, major Indian mutual funds, and insurance companies.