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Adani Energy Solutions, led by billionaire Gautam Adani, is likely to launch a share sale this week to raise more than $600 million, two sources with direct knowledge of the matter told Reuters on Monday.
The sale of existing shares will be Adani Group's first fundraise from equity markets after a $2.5 billion share sale was scrapped in February last year after U.S.-based short seller Hindenburg Research accused the group of improper use of offshore tax havens and stock manipulation.
Adani group denied Hindenburg's allegations, but shares of its group companies lost more than $100 billion in value in total, before recovering in late 2023.
Power transmission unit Adani Energy Solutions plans to raise the funds through the so-called Qualified Institutional Placement (QIP), a tool used by listed Indian companies to raise funds from large institutions, the two sources added, declining to be named as the plans are private.
A third source with direct knowledge said at least three foreign investors "which haven't invested in India so far" are set to invest in the offering, declining to elaborate further.
Adani Group did not respond to Reuters' request for comment.
Bankers advising Adani include SBI Capital Markets, Jefferies and ICICI Securities, the first two sources said. None of the banks responded to requests for comment.
Since the Hindenburg report in January 2023, Adani Group companies have raised more than $670 million through listed rupee bonds and one dollar bond.
Adani Energy's share sale is part of a broader fundraise of up to 125 billion rupees ($1.50 billion) it approved in May. Other group companies have also obtained board approvals to raise funds from the market.
(Reporting by Jayshree P Upadhyay, Bhakti Tambe and Dhwani Pandya; Editing by Aditya Kalra and Susan Fenton)