New Delhi, Jun 7 (PTI) Gujarat-based conglomerate Adani
Group is looking to raise USD 1 billion by selling 2.5 per
cent stake in Adani Ports and diluting 5 per cent equity in
another listed entity Adani Enterprises.
"The company plans to raise USD 1 billion by June 2013
from the stake sale in Adani Port (2.5 per cent equity) and
from dilution in Adani Enterprises (5 per cent equity), a
Group official said at an investor conference organised by
global investment banking major Morgan Stanley today.
The proceeds would be used to fund the USD 4.2 billion
capex on the Australia coal mine and creation of necessary
infrastructure, he said.
The coal mine in Galille basin of Australia's Queensland
is expected to begin production by January 2015.
The Group also hopes to produce two million tonnes from
the Indonesian coal mine and expects production to start by
the first week of next month.
The Group also plans to increase the power generation
capacity to 20,000 MW by 2020 from 9,200 MW now. The officials
said it would not embark on expansion until more clarity on
the coal supply in the country is provided.
"Some of the projects could face earnings risk given the
low tariffs and lack of coal availability," he added.
The diversified Adani Group, which is into energy, ports,
shipping, mining and power generation had said in February
that it would invest USD 6 billion in overseas expansion by
2015, primarily in its Australian mining and related assets.
The Adani Group has ports Mundra, Dahej, Hazira, Mormugao
and Visakhapatnam and Abbot Point in Australia and has set a
target of emerging as the largest port in the country by
aiming to handle 200 million tonne cargo by 2020.
For more information, please visit www.adani.com