Gautam Adani and his family are infusing Rs 9,350 crore ($1.12 billion) into renewable energy firm Adani Green Energy Ltd (AGEL), in another sign the conglomerate has overcome the valuation-destroying effects of the damning accusations made by US short seller Hindenburg Resources at the start of the year.

The investment will be in the form of convertible warrants, and AGEL will use the proceeds to reduce debt and fund capex plans as it aims to achieve the target of 45GW renewable energy by 2030.

AGEL will issue up to 6.31 crore warrants — which will be converted into an equal number of shares — to Ardour Investment Holding Ltd and Adani Properties Pvt Ltd.

They may be exercised in one or more tranches over 18 months commencing from the date of allotment of the warrants, AGEL said in a regulatory filing. When converted they would account for 3.833 per cent of the share capital of the company.

For the quarter ended September 30, 2023, the promoters held 56.26 per cent of AGEL.

The shares of the company rose over four per cent on the bourses on Tuesday as fund infusion by promoters is seen as a sign of their confidence in the company.

AGEL closed at Rs 1,599.90, a gain of Rs 65.95 or 4.30 per cent on the BSE, with a market cap of Rs 2.53 lakh crore.

AGEL said in a press statement that their issuance is subject to the approval of regulatory and statutory authorities as well as the shareholders at the extraordinary general meeting (EGM) scheduled on January 18, 2024. It currently has an operating renewable portfolio of 8.4GW, the largest in India, across 12 states.

The company said that aided by the latest fund infusion, the company was in a position to achieve their energy goals for 2030.

“India is on the cusp of becoming a global leader in renewable energy and Adani Green Energy is in the vanguard of this revolution,’’ Gautam Adani, chairman of Adani Group, said.

The investment by the promoter family underscores their commitment not only to make the country’s clean energy dream a reality but also to an equitable energy transition, he said.

Earlier, AGEL announced that eight global banks will lend it $1.36 billion to construct 2.1GW solar power projects at Khavda, Gujarat, the largest solar park in India.

The Adani group was hit by damaging allegations from Hindenburg in January. At one point in time, it led to the group losing close to $150 billion of market value.

However, it has been on a comeback note after March following investments by GQG Partners, and the reduction of debt.