Adani Enterprises Archives - Lokmarg

Adani Enterprises Posts Rs 820 Cr Profit In Third Quarter

By LokMarg 14th February 2023

Adani Enterprises (AEL) on Tuesday posted Rs 820 crore profit after tax for the quarter ended December 2022. The firm had incurred a Rs 12 crore loss in the year-ago period.

The company said its total income rose 42 per cent year-on-year to Rs 26,951 crore in the reviewed quarter. Its earnings before interest, taxes, depreciation, and amortisation (Ebitda) jumped 101 per cent y-o-y to Rs 1,968 crore, according to a statement from the company.
The company in the statement said the Nacelle facility in Mundra will be operational and commercial assemblies shall start from the first quarter of FY24. It also said an agreement was signed for new engineering, procurement, and construction (EPC) project of irrigation of Rs 3,246 crore in Madhya Pradesh.

In terms of arterial roads, provisional commercial operation date (COD) was received for third Hybrid Annuity Model (HAM) project at Mancherial. The company also said a letter of authorisation (LoA) was signed with Pelma Mine with capacity of 15 MMT in the state of Chhattisgarh. It also added AMG Media Networks also completed the acquisition of NDTV.

“Over the past three decades, as well as quarter after quarter and year after year, Adani Enterprises has not only validated its standing as India’s most successful infrastructure incubator but has also demonstrated a track record of building a core infrastructure business,” said Gautam Adani, Chairman of the Adani Group.

The Chairman said, “Our fundamental strength lies in mega-scale infrastructure project execution capabilities, organisational development and exceptional O&M (operations and maintenance) management skills comparable to the best in the world. AEL’s exceptional resilience and capacity to build highly profitable core sector business indicate how our strategy of harnessing the diverse strengths of the Adani portfolio of companies is creating consistent long-term value for all our stakeholders.”

Gautam Adani said, “Our success is due to our strong governance, strict regulatory compliance, sustained performance, and solid cashflow generation. The current market volatility is temporary; and as a classical incubator with a vision of long-term value creation, AEL will continue to work with the twin objectives of moderate leverage and looking at strategic opportunities to expand and grow.” (ANI)

Maha Ghotala In Amrit Kaal: Oppo Over Adani’s Crash

By LokMarg 2nd February 2023

Lashing out at the Centre over the Hindenburg report against Adani Enterprises, the joint Opposition on Thursday dubbed the stock crash a “Maha ghotala (scam) in Amrit Kaal” and questioned the government’s “silence” over the issue.

Addressing a joint press conference at Vijay Chowk in the national capital after the adjournment of both Houses till 2 pm, the Opposition leaders also slammed the government over the rejection of their suspension of Business notices to discuss the issue.
Leader of Opposition Mallikarjun Kharge led the attack at the Centre and demanded an investigation into the matter under the supervision of CJI or the constitution of a Joint Parliamentary Committee.

“Either a Joint Parliamentary Committee or a team under the supervision of the CJI of the Supreme Court should investigate this,” Kharge said.

Aam Aadmi Party MP Sanjay Singh thrashed the Centre describing Gautam Adani as the “closest friend” of Prime Minister Narendra Modi.

“Why is the Modi government silent on such a huge scam? The government is silent because the man who is indulged in this scam is the closest friend of PM Modi. Adani opens fake companies in foreign countries, buys shares worth crores of rupees of his own company and takes loans worth lakhs and crores from banks. All those who invested money in Life Insurance Corporation (LIC) and SBI for their needs are worried. This is the Maha ghotala (scam) in Amrit Kaal,” he said.

Singh demanded the government to hold a discussion on the issue in the House.

“…and conduct a Supreme Court-monitored probe and constitute a JPC. We will keep raising our voices in Parliament,” he said.

Samajwadi Party MP Ram Gopal Yadav alleged that the people who have invested in the LIC and kept money in the banks are “scared”.

“People who have invested in LIC or have money deposited in banks are scared. Those who are going to withdraw their money from the State Bank of India are being returned and told that there is no money. We are fighting for the people,” he said.

Echoing the other leaders’ voices, Bharat Rashtra Samithi MP K Keshava Rao said, “What can be a more serious issue than this? If the stocks crash by 27 per cent in one day, that means that man loses his credibility.”

Trinamool Congress MP Santanu Sen hit out at the Chairman of the House and said that the repeated rejection of suspension of Business notices under Rule 267 is “against democracy”.

“The way notices under Rule 267 are being rejected is against democracy. TMC demands a proper inquiry into the matter so that the truth can come to the fore,” he said.

Several Opposition MPs have given a suspension of business notices to the respective Houses of Parliament on the issue. However, both Houses were adjourned soon after the Session began at 2 pm.

The leaders who gave the notice in their respective Houses include Leader of Opposition Mallikarjun Kharge, CPI(M) leader in Rajya Sabha MP Elamaram Kareem, Shiv Sena MP (Uddhav Thackeray faction) Priyanka Chaturvedi, CPI Rajya Sabha MP Binoy Viswam, Bharat Rashtra Samithi Lok Sabha MP Nama Nageswara Rao, BRS Rajya Sabha MP K Keshava Rao, Aam Aadmi Party MP Sanjay Singh among others.

The first part of the session will conclude on February 13. Parliament will reconvene on March 12 for the second part of the Budget Session, which will conclude on April 6. (ANI)

Shares Of Adani Enterprises Nosedive 27% On Wednesday

By LokMarg 1st February 2023

Shares of Adani Enterprises nosedived sharply on Wednesday, a day after its follow-on public offer closed for the subscription.

The shares of Adani Group flagship company closed at Rs 2,179.75 with a sharp decline of 26.70 per cent.
Its intraday low was Rs 1,941.2, over 30 per cent lower than Tuesday’s settlement price.

On Tuesday, the last day for subscription, the follow-on public offer (FPO) issued by Adani Enterprises was fully subscribed.

A follow-on public offering (FPO) is the issuance of shares to investors by a company listed on a stock exchange after its initial public offerings.

Data showed the demand for the FPO was led by non-institutional investors, and they subscribed to the shares 3.26 times. The portion for institutional investors was also oversubscribed.

On Monday, an Abu Dhabi-based diversified conglomerate International Holding Company announced that it will invest about USD 400 million (AED 1.4 billion) into the Adani Enterprises’ follow-on public offer (FPO) through its subsidiary Green Transmission Investment Holding RSC Limited.

Adani Enterprises had filed a red herring prospectus with the markets regulator Securities and Exchange Board of India (SEBI) for the Rs 20,000 crore follow-on public offer (FPO), the largest ever in India.

There were concerns that the FPO may not receive a strong response from investors amid a report by a US-based Hindenburg Research that surfaced on January 24, which claimed the Adani Group of having weak business fundamentals among others.

The US-based firm, in its report, raised concerns about shares of Adani group companies having a possibility of declining from their current levels, owing to high valuations. In response, Adani Group on Sunday said the recent report by Hindenburg Research was not an attack on any specific company but a “calculated attack” on India, its growth story, and ambitions. It added the report was “nothing but a lie”. (ANI)