Abu Dhabi-based International Holding Company PJSC, a global strategic investment company, has invested ₹15,400 crore ($2 billion) in three listed entities of Adani Group — Adani Green Energy, Adani Transmission and Adani Enterprises.
The investment was made through preferential allotment route. Last month, IHC said it will invest ₹3,850 crore in AGEL, ₹3,850 crore in ATL and ₹7,700 crore in AEL.
Syed Basar Shueb, Managing Director, IHC said the transaction will directly and positively impact India's overarching ambition for long-term plans for clean energy.
The investment represents 4.87 per cent of the total trade between the UAE and India, which has reached $41 billion between 2020 and 2021.
India’s total electricity generating capacity is more than 390 GW and renewables exceed 100 GW. Last year, the government announced that the country’s non-fossil fuel capacity would reach 500 GW-mark by 2030.
IHC’s investment will support and accelerate Adani Group’s growth plan to supply the country with 45 GW (9 per cent of India’s non-fossil energy) by 2030.
Sagar Adani, Executive Director, Adani Green Energy said the transaction marks the further strengthening of the India– UAE relationship and highlights the long history of business and trust between our peoples.
"We share IHC’s strategic vision for India, Middle East and Africa as we embark on this inter-generational relationship," he added.
Adani Electricity Mumbai, the distribution arm of Adani Transmission has legally covenanted targets to increase the renewable energy penetration from 3 per cent in FY21 to 60 per cent by FY27.
Adani Enterprises, through its wholly-owned subsidiary Adani New Industries, plans to invest $50 billion over the next nine years forming a new green hydrogen vertical focused on decarbonisation of industrial energy and mobility.
Founded in 1998, IHC was part of an initiative to diversify and grow non-oil business sectors in the UAE.
Royal Group, headed by Sheikh Tahnoun, owns about 74 per cent in IHC.
IHC is included in FTSE ADX 15 Index (FADX 15), which represents the top 15 largest and most liquid companies on the ADX.
Comprising over 30 entities and 22,345 employees, IHC seeks to expand and diversify its holdings across real estate, agriculture, healthcare, food and beverage, utilities, IT and communications, retail and leisure and capital.
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