The price of shares of Adani Wilmar Ltd (NSE: AWL) jumped by well over 5% on the first day of the year. At midday, the shares were trading at Rs 324.50, which was up Rs 16.45 or 5.34%. The scrip opened at Rs 308 on Wednesday. The 52-week high and lows of this share was Rs 408.95 and Rs 279 respectively. It closed at Rs 308.25 in the previous session.
According to reports, Adani Wilmar shares fell about 7% in early trade on December 31. It was the day following the announcement by Adani Enterprises to exit the JV with Singapore-based Wilmar International. The Adani Group said that they will sellout the entire 44% stake for a consideration of $2 billion. Significantly, analysts pointed out that the Rs 305 price at which the Adanis will selling its stake 31% stake to Wilmar International is lower than Monday closing price by 7%.
Statement of Adani Enterprises
Adani Enterprises (AEL) held 43.94& stake in Adani Wilmar which manufactures the popular Fortune brand cooking oil, wheat flour and other food items. AEL also mentioned that it will sell 31.06% stake to Singapore-based Wilmar International and the rest 13% will be offloaded in the open market. The Adanis will sell shares to Wilmar at a maximum price of Rs 305. AEL also estimated that the total proceeds will be more than $ 2 billion. It was state that the transaction will be wrapped up by March 31, 2025.
How will stake sale proceeds be used
The money will be used to fuel the growth of the infrastructure businesses of AEL. “…the proceeds from the sale to turbocharge its investments in the core infrastructure platforms in energy and utility, transport and logistics and other adjacencies in the primary industry,” the Adanis said in their statement. Adani Wilmar was set up in 1999. It has as many as 23 plants in 10 states and makes Fortune brand cooking oil, wheat flour, pulses, rice and sugar.
(Disclaimer: This article is only meant to provide information. News9 does not recommend buying or selling shares or subscriptions of any IPO and Mutual Funds.)
The shares of Adani Wilmar were trading at Rs 324.75, up 5.42% on Wednesday, January 1, 2025. On December 30, Adani group announced that it was exiting the FMCG firm, which was a JV, completely by selling off its stake. Markets Business News – Personal Finance News, Share Market News, BSE/NSE News, Stock Exchange News Today
