Adani: Adani looks to exit $6 billion Wilmar JV

Adani Enterprises is exploring selling its stake in its listed consumer-staple joint venture with Wilmar International, freeing up capital for their core business, according to people familiar with the matter.

The conglomerate has been considering a potential sale of its 44% stake in Adani Wilmar for a few months, the people said, asking not to be identified as the information is confidential. Adani’s shares are worth about $2.7 billion at the current share price, according to Bloomberg calculations.
Billionaire Gautam Adani and his family may retain a minority stake in a personal capacity following a sale, the people said. Wilmar, the Singapore-based food conglomerate co-founded by billionaire Kuok Khoon Hong in 1991, could decide to retain its stake in the business, one of the people said.

Deliberations are at an early stage and Adani Enterprises may decide to keep its stake, the people said. An Adani spokesman said the group won’t comment on market speculation. A representative for Wilmar declined to comment.
Shares of Adani Wilmar have fallen about 36% this year, valuing the company at around $6.2 billion. Adani-linked companies had lost more than $150 billion in market value at one point after US-based short seller Hindenburg Research leveled fraud allegations against the business empire. The Adani group denied any wrongdoing.
Adani Wilmar raised about $435 million in an initial public offering in 2022. Adani and Wilmar’s stakes together account for nearly 88% of the company’s shares. The Sebi rules require that large firms must have a minimum public shareholding of at least 25% within five years of the date of the listing.