Adani Ports shares rise for sixth straight session, here's why

Shares of Adani Ports and Special Economic Zone rose for the sixth straight session on Friday amid reports that state-run Life Insurance Corporation of India has fully subscribed to the Rs 5,000-crore non-convertible debenture (NCD) issue from the Adani Group firm. 

In the current session, Adani Ports stock rose 1.37% to Rs 1457.70 against the previous close of Rs 1437.95 on BSE. The stock hit a 52 week high of Rs 1607.95 on June 3, 2024 and fell to a 52 week low of Rs 993.85 on November 21, 2024.          
Market cap of the firm stood at Rs 3.09 lakh crore on BSE today. Total 0.44 lakh shares of Adani Ports changed hands amounting to a turnover of Rs 6.34 crore. 

 The Adani Group stock has seen high volatility in the last one year with its beta at 1.9. The stock is trading above the 10 day, 20 day, 30 day, 50 day, 100 day, 150 day and 200 day moving averages. 

The relative strength index (RSI) of Adani Ports stands at 72.5, signaling it's trading in the overbought zone. 

The move highlights the ongoing efforts of India's leading private port operator to shift from short-term debt to longer-term financing at more favorable rates. The 15-year bond, featuring a coupon rate of 7.75%, was issued recently, marking one of Adani Group's longest domestic issuances in the past few months.

LIC, which currently holds an 8.06% stake in Adani Ports, was the exclusive investor in this round, according to sources close to the situation. The funds raised will be allocated towards capital expenditures, refinancing existing debts, and other general corporate activities.