International Holding Company PJSC (IHC), an Abu Dhabi-based investment company, said on Tuesday that it has completed the investment of Rs 15,400 crore ($2 billion) in three Adani portfolio companies.
The investment, first announced on April 8, was expected to be completed within a month.
IHC has invested Rs 3,850 crore in Adani Green Energy, Rs 3,850 crore in Adani Transmission and Rs 7,700 crore in Adani Enterprises, all listed on the Indian bourses, through preferential allotment routes, the companies said in a joint statement.
“The deal represents 4.87% of the total trade between the UAE and India, which has reached $41 billion between 2020 and 2021,” Syed Basar Shueb, Chief Executive Officer and Managing Director of IHC, said.
India’s total electricity generating capacity is more than 390 GW, and renewables exceed 100 GW. Last year at the United Nations Climate Change Conference, the Indian government announced that by 2030 India’s non-fossil fuel capacity would be 500 GW. IHC’s investment will support and accelerate Adani Group’s growth plan to supply the country with 45 GW (9% of India’s non-fossil energy) by 2030, the statement added.
Adani Electricity Mumbai, the distribution arm of Adani Transmission has legally covenanted targets to increase the renewable energy penetration to 60% by FY27 from 3% in FY21. IHC’s investment will support Adani Transmission’s journey, it added.
Adani Enterprises, through its wholly-owned subsidiary Adani New Industries, has undertaken to invest $50 billion over the next nine years forming a new green hydrogen vertical focused on decarbonisation of industrial energy and mobility.
The capital was to be utilised for pursuing the growth of the respective businesses, further strengthening of the balance sheet and for general corporate purposes, the companies had said in April.