Adani Enterprises Ltd., the flagship company of the Adani Group, is proceeding with a significant rights issue aimed at raising ₹24,930 crore. This corporate action is designed to inject substantial capital into the company for its growth and operational needs.
Key Dates for the Rights Issue:
- Record Date: Monday, November 17. This date is crucial for determining which shareholders are eligible to participate in the rights issue. Only those who held shares as of the closing on Friday, November 14, 2025, will be considered eligible.
- Subscription Opening Date: Tuesday, November 25, 2025.
- Subscription Closing Date: Wednesday, December 10, 2025.
- On-Market Renunciation Deadline: Friday, December 5, 2025. This is the last date for eligible shareholders to sell their rights entitlement in the open market.
- Allotment Date: Thursday, December 11, 2025.
- Credit of Rights Shares: Friday, December 12, 2025.
- Commencement of Trading of Rights Shares: Tuesday, December 16, 2025.
Issue Details:
Adani Enterprises plans to issue approximately 13.85 crore partly paid-up equity shares, each with a face value of ₹1. The rights issue price has been fixed at ₹1,800 per share. This price was set at a discount of 24% from the previous day's closing price (when rates were declared) and a 28% discount from last Friday's closing price. Companies typically offer rights shares at a discount to encourage shareholder participation and raise funds without incurring additional debt.
Eligibility and Entitlement:
Shareholders who held Adani Enterprises shares as of the close of business on Friday, November 14, 2025, are eligible. For every 25 shares owned, eligible shareholders are entitled to subscribe to three new rights shares.
Renunciation:
Eligible shareholders who do not wish to subscribe to the new shares can renounce their rights by selling them in the secondary market up to Friday, December 5, 2025. This allows them to receive potential proceeds instead of investing further in the company.
Market Context:
Shares of Adani Enterprises closed 1.4% higher on Friday at ₹2,524.1, indicating a positive market sentiment prior to this announcement.
Impact
- For Investors: Existing shareholders face a decision: subscribe to new shares at a discount, potentially increasing their stake and capital outlay, or renounce their rights for immediate value. The stock price may experience short-term volatility due to dilution effects and capital raising.
- For Adani Enterprises: The successful completion of this rights issue will provide significant capital, bolstering the company's financial position and supporting its strategic expansion plans and operational funding requirements.
- For the Stock Market: Large rights issues by major companies can influence market liquidity and investor sentiment. If Adani Enterprises successfully deploys this capital, it could positively impact its future prospects and potentially the broader conglomerate's outlook.
Rating: 7/10
Glossary:
- Rights Issue: A method for a company to raise additional capital by offering new shares to its existing shareholders, typically at a discount to the prevailing market price.
- Record Date: A specific date determined by a company to identify shareholders who are eligible to participate in a corporate action, such as a rights issue, dividend, or bonus issue.
- Ex-rights: The trading period after the record date when shares are traded without the entitlement to the rights issue.
- Subscription: The process where investors formally apply to purchase shares offered in a public offering or rights issue.
- Partly Paid-up Equity Shares: Shares for which only a portion of the issue price has been paid by the subscriber at the time of allotment. The remaining amount is payable in one or more calls made by the company later.
- Renunciation: The act by an eligible shareholder of giving up their right to subscribe to new shares offered in a rights issue. This right can often be sold to another interested party in the market.
- On-market Renunciation: The process of selling the entitlement to subscribe to new shares directly on the stock exchange.
