New Delhi, Jun 8: India's diversified business conglomerate Adani Group plans to raise $1 billion by off loading 2.5% stake in Adani Ports and diluting 5% equity in Adani Enterprises. Speaking at an investor conference organized by Morgan Stanley, the Group's official said, "The company plans to raise $1 billion by June 2013."
Speaking about the plan, he said that the proceeds would be used to fund the $4.2 billion capex on the Australia coal mine and creation of necessary infrastructure.
The company has set a target to start production at the coal mine in Galille basin of Australia's Queensland by January 2015.
Its Indonesian coal mine is scheduled to begin production by the first week of next month.
The Group, with current power production capacity of 9,200 MW, plans to increase the power generation capacity to 20,000 MW by 2020.
However, the official said that the company 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.
Earlier in February the Group, with presence in energy, ports, shipping, mining and power generation, had said that it would invest $6 billion in overseas expansion.
The Adani Group with 5 domestic ports and one overseas port aims to handle 200 million tonne cargo by 2020.