Adani Enterprises has completed its exit from AWL Agri Business, marking a significant shift in its business focus. The conglomerate sold its remaining 10.42% stake for Rs 3,732 crore through open market transactions, as confirmed by a regulatory filing from Adani Enterprises Limited.

Transaction Details

Adani Commodities LLP, a subsidiary of Adani Enterprises Limited, executed the sale of 13.54 crore equity shares at an average price of Rs 275.50 per share. The transaction was carried out in 11 tranches, attracting a diverse group of institutional investors.

Key Buyers

The largest buyer in this transaction was Dubai-based Shajaeatan Investment FZCO, which acquired an 8.52% stake for Rs 3,050 crore. Other notable buyers included:

• Quant Mutual Fund
• IDFC Mutual Fund
• Bandhan Mutual Fund
• Jupiter Fund Management
• Morgan Stanley Asia Singapore
• Susquehanna International Group
• Franklin Templeton
• Vanguard
• Duro Capital

Divestment Timeline

This sale represents the final step in Adani Group's complete exit from AWL Agri Business. The divestment process included:

1. Earlier sale of a 20% stake to Wilmar International Singapore for Rs 7,150 crore
2. A 13.51% stake sale in January for Rs 4,855 crore
3. The current sale of the remaining 10.42% stake for Rs 3,732 crore

In total, Adani Group has divested its entire 44% stake in AWL Agri Business.

Strategic Shift

The complete exit from AWL Agri Business signifies Adani Group's strategic decision to move away from the FMCG business and focus more on its core infrastructure operations.

AWL Agri Business Performance

AWL Agri Business, which operates the Fortune brand, reported strong financial performance:

Market Response

Following the announcement, AWL shares closed down 1.31% at Rs 274.60 on the stock market.

Regulatory Compliance

As per the LODR (Listing Obligations and Disclosure Requirements) data, Adani Enterprises Limited duly informed the stock exchanges about this transaction. The company stated that Adani Commodities LLP sold the shares through a block deal via the stock exchange mechanism, in compliance with regulatory requirements.

This divestment marks a significant milestone for Adani Group as it reshapes its business portfolio, potentially signaling a more focused approach towards its infrastructure and energy sectors in the coming years.

Adani Enterprises has finalized its complete exit from AWL Agri Business Limited (formerly Adani Wilmar) through transactions worth ₹15,729.00 crores. This strategic move marks a significant shift in the group's portfolio and investment strategy.

Two-Phase Stake Sale

The exit is being executed in two phases:

1. Sale to Wilmar International: Adani Commodities LLP, a subsidiary of Adani Enterprises, will sell an 11-20% stake to a subsidiary of Wilmar International, its long-standing joint venture partner in AWL Agri Business. This sale will be at ₹275.00 per share.

2. Sale to Diverse Investors: The remaining 10.42% stake will be sold to pre-identified investors.

Financial Details

The total value of the transactions is ₹15,729.00 crores.

Previous Divestment

This exit follows a previous divestment made by Adani Enterprises, indicating a phased approach to exiting the business.

Future Implications

Upon completion of these transactions, AWL Agri Business Limited will cease to be an associate of Adani Enterprises. This move aligns with the Adani Group's focus on core infrastructure and energy sectors.

Market Impact

The exit of Adani Group from AWL Agri Business is expected to have implications for both entities:

1. For AWL Agri Business: The company will now operate without the direct involvement of the Adani Group, potentially leading to changes in its strategic direction.

2. For Adani Group: This divestment allows the group to reallocate significant capital towards its core infrastructure projects.

The successful execution of this stake sale demonstrates the Adani Group's ability to manage large-scale transactions and its commitment to reshaping its business portfolio in line with its long-term strategic goals.

Investors and market analysts will be closely watching how both AWL Agri Business and the Adani Group utilize this transition to drive their respective growth strategies in the coming months.