The Board of Adani Enterprises Ltd (AEL) decided not to go-ahead with the fully subscribed Follow-on Public Offer (FPO) after the group stocks got routed on the stock exchanges on Wednesday.

“Given the unprecedented situation and the current market volatility, the company aims to protect the interest of its investing community by returning the FPO proceeds and withdraws the completed transaction,” the company said.

The ₹20,000-crore FPO was fully subscribed on Tuesday with institutional investors and HNIs investing in a big way. However, the staggering allegations made by Hindenberg Research put off retail investors.

Gautam Adani, Chairman, Adani Enterprises Ltd said, “Today the market has been unprecedented, and our stock price has fluctuated over the course of the day. Given these extraordinary circumstances, the company’s board felt that going ahead with the issue will not be morally correct. The interest of the investors is paramount and hence to insulate them from any potential financial losses, the Board has decided not to go ahead with the FPO.“

“We are working with our Book Running Lead Managers (BRLMs) to refund the proceeds received by us in escrow and to also release the amounts blocked in your bank accounts for subscription to this issue,” he added.