Shares of Adani Enterprises decline after FPO pricing, down over 4%

Issuance of partly paid shares, however, will queer the pitch for arbitrage traders

Shares of Adani Enterprises (AEL) fell as much as 4.7 per cent on Thursday after the company set the price band for its follow-on public offering (FPO) between 9 per cent and 13 per cent lower. The stock recovered slightly to finish at Rs 3,462, down 3.7 per cent over its previous day’s close.

AEL has set the price band for its Rs 20,000-crore FPO at Rs 3,112-Rs 3,276 per share. Retail investors —those applying for shares worth less than Rs 2 lakh — are getting an additional discount of Rs 64 per share.

Selling pressure during any