MUMBAI: A day after Gautam Adani released Rs 7,374-crore of pledged shares related to four of his companies, the group’s chairman has pledged more shares of two companies — Adani Transmission and Adani Green Energy — to support loans taken by flagship Adani Enterprises.
According to regulatory filings, shares representing 0.76% of Adani Transmission and 0.99% of Adani Green Energy’s equity capital have been pledged with SBICAP Trustee. At current prices, the pledged shares are worth Rs 1,670 crore. After the additional security, the quantum of shares pledged by the business tycoon stands at 1.32% of Adani Transmission (up from 0.56%) and 2% of Adani Green Energy (up from 1.01%).
SBICAP Trustee, a unit of India’s biggest state lender SBI, said shares of Adani Transmission and Adani Green Energy were pledged in its favour “for the benefit of the lenders of Adani Enterprises”. It must be noted that SBICAP only holds the shares as security according to the directions of its customers (read lenders) and is not in the business of lending to anyone. Its statement, however, didn’t mention for which loan Adani Group promoters had made the additional pledges and to which lenders.
Pledging of shares takes place when the borrower gives to an authorised trustee shares of a company as a security against the loan.
Separately, Adani Group repaid an about Rs 4,100-crore ($500-million) bridge loan due on Thursday, Bloomberg News reported. It released the money to lenders on Tuesday, the report added. The bridge loan, which was taken to finance the purchase of Ambuja Cements and ACC, was underwritten by Barclays, Deutsche Bank and Standard Chartered Bank.
The shares of Adani Transmission and Adani Green Energy were pledged on March 6, SBICAP said. Last month, the business tycoon had pledged additional shares related to three companies worth Rs 1,038 crore to SBICAP. He had pledged 0.11% of Adani Transmission, 0.38% of Adani Green Energy and 0.35% of Adani Ports.
Stay updated with the latest news on Times of India. Don't miss daily games like Crossword, Sudoku, Location Guesser and Mini Crossword. Spread love this holiday season with these Christmas wishes, messages, and quotes.Reeba Zachariah is assistant corporate editor at The Times of Ind...
Read MoreReeba Zachariah is assistant corporate editor at The Times of India, Mumbai. She has been covering large Indian business houses such as the Tata Group. She also reports on a host of sectors like hospitality, retail, travel, liquor and consumer durables. She has been writing on mergers and acquisitions and private equity.
Read Less