The promoter entities of Adani Wilmar are all set to sell up to 1.6 crore shares, or a 1.24 percent stake in the company, in order to meet the minimum public shareholding norms. The edible oil company acknowledged the fact in an exchange filing, saying the promoter entities, Adani Commodities and Lence Pte, had intended to offload their shareholding from December 26 to January 31, 2024.

Currently, the promoters hold an 87.94 percent stake in the company, despite the Securities and Exchange Board of India (SEBI) limiting the minimum public stake to 25 percent. Adani Wilmar has time until early 2025 to comply with the norm, which mandates companies to meet minimum public holding requirements within three years of being listed.

However, there are media reports claiming Adani Group had been intent on exiting Adani Wilmar as the company”s performance was not satisfactory. As Group Chief Financial Officer Jugeshinder Singh said, unless the company turns out to be among the top three in their business, they would think of an exit. He also said that the group will come up with a decision with respect to this in three months.

According to the report, the ports-to-renewable energy conglomerate is expected to raise $2.5–3 billion by offloading Adani Wilmar stakes. Adani Wilmar is a joint venture with Singapore-based Wilmar International, which holds a 43.97% stake in the company.

Adani Group intends to relinquish control of Adani Wilmar in order to invest in various other segments. “Plans to disinvest its stake in Adani Wilmar are on these lines. The proceeds from the proposed stake sale are likely to be used for investments in other group businesses and not to pay down debt,” an ET report suggested.