Adani Green Sees ₹2,400 Cr Block Deal; French Giant TotalEnergies Likely Seller

French energy giant TotalEnergies has offloaded around 1.5% stake in Adani Green Energy Ltd. (AGEL) on December 10 through block deal, Economic Times reported. TotalEnergies has sold 2.47 crore shares at a floor price of ₹970, representing a 2.9% discount from the previous day's close.

The French major is expecting to raise approximately ₹2,400 crore from this deal. This comes amid the backdrop of earlier reports which stated that TotalEnergies was looking to sell around 6% of its stake in AGEL in November to manage debt and record profits from its 2021 investment in the Indian conglomerate.

Notably, AGEL saw a significant block deal worth ₹2,718 crore, or around 1.7% of the company's ownership on the same day (December 10), according to a Moneycontrol report. During the block window, up to 2.8 crore shares were traded for ₹970 each.

As of September 30, TotalEnergies owned 19% stake AGEL worth $8 billion, which is split between two of its subsidiaries, TotalEnergies Renewables Indian Ocean Ltd., and TotalEnergies Solar Wind Indian Ocean Ltd.

TotalEnergies and Adani Group have a strong strategic collaboration, mainly in India's renewable energy industry. This involves substantial investments, 50:50 joint ventures (JVs) for solar and wind projects, holdings in AGEL, and a JV for city gas distribution (Adani Total Gas).

It had invested $2.5 billion in AGEL and its solar portfolio in 2021 and the value of the investment has risen dramatically, Moneycontrol reported.

The two energy firms had also formed a new joint venture in September 2024 to oversee a portfolio of 1,150 MW solar projects.

Point to be noted: Citing accusations of wrongdoing made by the US Securities and Exchange Commission (SEC), TotalEnergies had declared in November 2024, that it would stop making further investments in Adani Green.

The action came after Gautam Adani, the founder and chairman of the company, and seven other individuals were charged with bribery in a New York district court with projects under AGEL.

However, TotalEnergies CEO Patrick Pouyanné stated in June of this year that his firm will keep assisting Adani Green in increasing its capacity for renewable energy.

As part of a larger plan to reduce its debt, the French corporation is considering selling other renewable assets in Asia in addition to the AGEL acquisition, according to a Reuters report.

It has planned for a $7.5 billion cost-cutting measure and had reportedly revealed to reduce yearly capital spending by $1 billion, bringing it down to $15–17 billion annually between 2027 and 2030.