Adani to sell up to 20% stake in Wilmar joint venture

India’s Adani Group said on Thursday it plans to sell a stake of up to 20% in Adani Wilmar to the public, as the conglomerate looks to comply with minimum public shareholding rules amid plans to exit the consumer goods company.

Adani, which holds a nearly 44% stake in the joint venture with Singapore’s Wilmar International, will sell up to 13.5% to the public in an offer for sale beginning Jan. 10, with an option to sell an additional 6.5%.

The group has set a floor price of 275 rupees per share, a near 15% discount to Thursday’s closing price of 323.45 rupees on the National Stock Exchange.

Adani said in December it would exit Adani Wilmar in a $2 billion deal as it sharpens its focus on its infrastructure business.

According to the deal announced last month, Wilmar International would acquire a maximum of 31.06% stake in Adani Wilmar from Adani Group, while Adani would sell about 13% in the consumer goods venture to comply with minimum public shareholding requirements.

Indian regulations require listed companies to ensure that at least 25% of their shares are held by the public. Adani Wilmar has a public shareholding of about 12%, according to exchange data.