Adani Enterprises Limited (AEL) has announced plans to sell its 44% stake in Adani Wilmar Limited (AWL). The stake sale is expected to generate approximately $2.2 billion (₹18,817 crore) upon completion. This transaction will take place in two phases. Initially, AEL will sell a 31.06% stake to its joint venture partner, Wilmar International, for ₹13,301 crore. The remaining 13% stake will be sold later for over ₹5,500 crore to meet public shareholding norms.
Adani Wilmar, a joint venture between the Adani Group and Singapore-based Wilmar International, has been a prominent player in the FMCG sector. Both partners currently hold a 43.94% stake in the company. Under the well-known Fortune brand, Adani Wilmar manufactures a variety of products such as cooking oil, wheat flour, rice, and sugar. The company operates 24 factories across 15 cities in India, making it a key player in the country’s agrifood market.
On the day of the announcement, Adani Wilmar’s shares closed at ₹329.5 on the Bombay Stock Exchange (BSE),
giving it a market capitalization of ₹42,824 crore. For the financial year 2023-24, the company reported a turnover of ₹51,262 crore, with Fortune brand sales alone exceeding ₹20,000 crore annually.
Proceeds from the stake sale will be reinvested in Adani Enterprises’ core infrastructure businesses, including energy, utilities, transport, and logistics. This move aligns with AEL’s strategy to strengthen its position as India’s leading incubator for infrastructure platforms.
As part of the transition, nominee directors from Adani Commodities will step down from the Adani Wilmar board. Additionally, steps are being taken to change the company’s name, signaling a shift in governance and operations.
Wilmar International plans to finance the deal through internal resources and bank borrowings. The company is also exploring opportunities to bring in investors, highlighting its vision for growth in the Indian subcontinent. Wilmar sees significant potential in India’s agrifood businesses, particularly in rural markets, which are poised for further expansion in the FMCG sector.
This transaction occurs against a backdrop of controversy, as US authorities have accused Gautam Adani of bribery in Indian power supply contracts. The Adani Group has strongly refuted these claims, calling them “baseless”. Despite this, the stake sale marks a realignment for both Adani Enterprises and Wilmar International, opening new avenues for growth and investment in India’s agrifood and infrastructure sectors.