International Holding Company PJSC (IHC), the Abu Dhabi-based conglomerate, has signed US$2bn Investment Agreement with Indian multinational conglomerate Adani Group, as primary capital in three Adani portfolio companies ? Adani Green Energy Ltd (AGEL), Adani Transmission Ltd (ATL) and Adani Enterprises Ltd (AEL)
The boards of AGEL, ATL, and AEL met and approved the transaction. The investment is subject to shareholder and regulatory approvals and shall comply with SEBI regulations.
Sagar Adani, executive director at AGEL, said, ?We are delighted to commence this inter-generational relationship with IHC. We are deeply committed to the shared vision and values of investment in sustainable infrastructure, green energy, and energy transition. This is a landmark transaction and marks a start of a wider relationship between Adani Group and IHC and attracting further investment from UAE into India.?
The three Adani companies ? AGEL, ATL and AEL ? are market leaders in their business sectors and span the Adani Group?s green portfolio. Every one of these three businesses has the core aspects of ESG woven into their operations. This investment is testament to the IHC?s and the Adani Portfolio?s shared vision and commitment of investing in sustainable companies that are leading the charge in energy transition.
Syed Basar Shueb, CEO and managing director of IHC, said, "This will be a long-term investment in India as the country is driving much innovation globally, including the green energy sector. The opportunity to earn a compelling return on investment in green energy has never been greater. We are confident that Adani companies will play a significant role in unleashing India's total green energy potential, reflecting positively on our shareholders' commitment."
IHC will invest US$500mn in AGEL, US$500mn in ATL and US$1bn, in compliance with SEBI regulations. The transaction is expected to be completed in a month after all necessary approvals are obtained. The capital will be utilised for pursuing the growth of the respective businesses, further strengthening of the balance sheet and for general corporate purposes.
International Holding Company (IHC)
IHC was founded in 1998, as part of an initiative to diversify and grow non-oil business sectors in the UAE. Adhering to ?Abu Dhabi?s Vision 2030?, the ADX listed company endeavours to implement sustainability, innovation, and economic diversification initiatives across what is now one of the region?s largest conglomerates. IHC is included in FTSE ADX 15 Index (FADX 15), which represents the top 15 largest and most liquid companies on the ADX.
IHC has a clear objective of enhancing its portfolio through acquisitions, strategic investments, and business combinations. Comprising more than 30 entities, 21,613 employees, IHC seeks to expand and diversify its holdings across a growing number of sectors, including real estate, agriculture, healthcare, food and beverage, utilities, industries, IT and communications, retail and leisure, and capital.
With a core strategy to enhance shareholder value and achieve growth, IHC drives operational synergies and maximises cost efficiencies across all verticals ? it also continues to evaluate investment opportunities through direct ownership and entering partnerships in the UAE and abroad. As the world changes, and new opportunities arise, IHC remains focused on resilience, innovation and redefining the marketplace for itself, its clients, and its partners.
