In accordance with people familiar with the matter, Abu Dhabi National Energy Co. PJSC (TAQA) is looking to double down in India and is evaluating a large exposure in Gautam Adani's expansive power businesses, which span thermal generation to transmission, clean energy, and green hydrogen.

According to the sources mentioned above, TAQA, one of the largest integrated utilities in Europe, West Asia, and Africa, as well as the second largest stock on the Abu Dhabi Securities Exchange (ADX), is looking to invest $1.5-2.5 billion in Adani Group firms or a single entity. However, both parties believe that TAQA and Adani Energy Solutions, formerly Adani Transmission, can form a strategic alliance and collaborate on projects in North Africa and West Asia.

TAQA is looking to acquire a stake of up to 19.9% in the company through a combination of primary infusion and secondary purchase of shares from promoter family entities. Adani Energy Solutions is currently worth Rs 91,660 crore, with promoters owning 68.28% of the company. A near 20% stake would be worth Rs 18,240 crore ($2.19 billion) at current prices. On August 17, the stock closed flat at Rs 821.70.