The fees are equivalent to around 0.5% of the 200 billion rupees raised in Adani Enterprises Ltd.’s offering, said the people, who asked not to be identified as the information is private.
February 01, 2023 / 05:23 PM IST
Shares of Adani group companies have been hammered for the past one week after a scathing report by Hindenburg Research raised questions about corporate governance at the entities.
Investment banks are set to receive about 1 billion rupees ($ 12 million) in total fees after helping Indian tycoon Gautam Adani pull off a closely watched follow-on share sale, according to people familiar with the matter.
The fees are equivalent to around 0.5% of the 200 billion rupees raised in Adani Enterprises Ltd.’s offering, said the people, who asked not to be identified as the information is private.
The top arrangers — ICICI Securities Ltd., Jefferies Financial Group Inc. and SBI Capital Markets Ltd. — will get half of the total fees, while seven other banks will share the remainder, the people said. The fees will be paid in the coming month, they added.
The offering by Adani Enterprises — India’s largest follow-on share sale — caught global investor attention after US short seller Hindenburg Research alleged the conglomerate used a web of firms in tax havens to inflate revenue and stock prices. The Adani Group labeled the allegations an “attack on India, the independence, integrity and quality of Indian institutions, and the growth story and ambition of India.”
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