Abu Dhabi's IHC increases stake in India's Adani Enterprises

MUMBAI, Oct 3 (Reuters) - Abu Dhabi conglomerate International Holding Co (IHC) (IHC.AD) said on Tuesday it has increased its stake in Indias Adani Enterprises (ADEL.NS) to more than 5%, days after it sold its stake in two other Adani Group companies.

IHC said its stake increase in Adani Enterprises Ltd (AEL)reflected its belief in the Indian companys ability to \“incubate\” and scale up airports, data centres and green hydrogen businesses.

\“AEL is poised to uniquely capitalize on Indias robust growth journey,\” IHC said in a statement.

Adani Enterprises is the flagship of billionaire Gautam Adanis business, which is currently facing fraud allegations raised by U.S. short-seller Hindenburg Research in January that the apples-to-airports conglomerate engaged in stock manipulation and had amassed significantly high debt.

The Adani Group has denied all allegations and the Indian markets regulator is investigating the matter under orders of Indias Supreme Court.

Last Thursday IHC said it had agreed to sell its investments in Adani Green Energy (ADNA.NS) and Adani Energy Solutions (ADAI.NS) as part of a strategy to rebalance its portfolio.