Adani Enterprises to exit Adani Wilmar, sell entire 43.94% stake

Adani Enterprises Ltd (AEL) is exiting its joint venture Adani Wilmar Ltd (AWL) by selling its entire 43.94 per cent equity stake. AEL has entered into an agreement with Wilmar International, its equal partner in the joint venture, to sell 31.06 per cent stake in AWL to Lence, a subsidiary of Wilmar International.

As per the agreement, Wilmar will acquire the 31 per cent stake at a maximum of Rs305 a share.

Adani Enterprises holds the stake in AWL through its wholly-owned subsidiary Adani Commodities Ltd.

Adani will sell the remaining 13.94 per cent stake in the open market to the public to satisfy the 25 per cent public shareholding prescribed by Sebi for public listed companies.

AWL had a market value of Rs42,785 crore ($5 billion) as of 27 December 2024. This means that Adani’s 44 per cent stake would fetch around $2.2 billion.

Adani proposes to utilise the sale proceeds for investment in key infrastructure sectors like energy, utilities, transport and logistics.

Eventually, Adani aims to emerge as India’s group focused infrastructure that will drive the country’s growth.

Adani Wilmar, a partnership between AEL and Singapore-based Wilmar International, is India’s largest company dealing with food and other fast moving consumer goods. With an extensive network covering more than 30,600 towns and rural centres, AWL sells a range of products, including edible oils, rice and rice products, wheat and other flours, pulses, soya chunk, sugar as also other consumer products like soap, under the `Fortune’ brand.

AWL also exports these to more than 30 countries across the world.

With the stake sale ACL representatives on AWL board, including Pranav V Adani and Malay Mahadevia, will step down.

The two groups will also will take necessary steps to change the name of Adani Wilmar.