Bain Capital Set To Acquire 90% Stake In Adani Housing, Capital

US-based investment company, Bain Capital is set to acquire 90 per cent ownership of both Adani Capital and Adani Housing. The agreement involves Bain purchasing all of the Adani family's private investments in these companies. 

The transaction is scheduled to be finalised in the fourth quarter of this year. The primary objective behind this deal is to establish Adani Capital as an independent entity, enabling it to expand its lending operations. 

Bain's investment follows other global companies like GQG, which had increased its stake in Gautam Adani's conglomerate by approximately 10 per cent in May. While Gaurav Gupta, the current Managing Director and CEO of Adani Capital, will continue in his role, he will retain a 10 per cent stake in the company. 

According to Gupta, Bain's commitment of Rs 1,000 crore in capital will enable them to achieve substantial growth moving forward. Bain Capital is investing USD 120 million in Adani Capital, along with an additional liquidity line of USD 50 million in the form of Non-Convertible Debentures, as stated in the announcement. 

Adani Capital is the non-banking financial arm of the Adani group led by Gautam Adani. The company commenced its lending operations in 2017. Gautam Adani expressed his satisfaction with a credible investor like Bain stepping in, which he believes will significantly boost the business. 

Notably, the Adani Group had faced some challenges recently when it was accused of questionable practices by American short-seller Hindenburg. This accusation had caused a significant decline of over USD 150 billion in the group's stocks. However, the stocks have since recovered by approximately USD 50 billion following the Hindenburg episode.