Adani Enterprises REs trade between ₹373-600 as rights issue opens

Nearly 5 million REs of Adani Enterprises changed hands between Rs 373 and Rs 600 as its Rs 24,930-crore rights issue opened, with ETFs selling REs due to restrictions on holding partly paid shares

Rights entitlements (REs) of Gautam Adani-led Adani Enterprises Ltd (AEL) changed hands between ₹373 and ₹600 during the special trading window for existing shareholders. Nearly 5 million units were traded over the past two sessions, exchange data shows. On Wednesday, the RE settled at ₹494.2 while shares of the Adani group flagship closed 0.7 per cent lower at ₹2,317.

 

AEL’s ₹24,930 crore rights issue and the corresponding RE trading window both opened on Tuesday. The RE window will remain open until December 5 while the rights issue closes on December 10.

 

The RE mechanism allows shareholders who do not wish to subscribe to the rights issue to monetise their entitlement. This facility was first used during Reliance Industries Ltd’s (RIL’s) ₹53,125 crore rights issue in 2020.

 

 

AEL is issuing 138.5 million new shares at ₹1,800 apiece — 22 per cent below the last closing price. Just like RIL, AEL will initially issue partly paid-up shares as investors will pay in three instalments: ₹900 per share at the time of application, followed by two calls of ₹450 each in January and March 2026.

 

After adjusting for the RE, the effective rights price is only about 1 per cent lower than the prevailing market price. However, experts say the staggered payment schedule offers investors flexibility, compared with paying ₹2,317 upfront for a fully paid share. 

 

Since exchange-traded funds (ETFs) cannot hold partly paid-up shares, they are required to sell their REs. AEL is a Nifty 50 constituent, and ETFs and index funds tracking the benchmark manage assets of over ₹3 trillion.

 

At the end of the September 2025 quarter, AEL’s promoter shareholding stood at 73.97 per cent. Among major public shareholders, Life Insurance Corporation (LIC) of India held 4.16 per cent, followed by GQQ with about 3.87 per cent. It remains to be seen whether these marquee investors will participate in the rights issue.

 

In 2023, AEL had withdrawn its fully subscribed ₹20,000 crore follow-on public offering after its shares dropped following concerns raised by US short-seller Hindenburg Research.