Press "Enter" to skip to content

Adani Group shares slide further, lose nearly Rs 2 lakh crore in market cap on Friday morning – The Indian Express

The shares of all nine listed Adani Group companies came under pressure again at the stock market on Friday, two days after the companies lost up to 8 per cent following the release of a report by Hindenburg Research. The group lost nearly Rs 2 lakh crore in market capitalisation in early trading hours on Friday, taking the overall decline in its market capitalisation to over Rs 2.75 lakh crore since Tuesday’s closing. Markets were closed on Thursday on account of Republic Day.

While the shares of Adani Total Gas fell sharply by 17 per cent, Adani Green Energy and Adani Transmission fell by over 12 per cent. Ambuja Cement and ACC fell by over 6 per cent, while Adani Power and Adani Wilmar shares were down 5 per cent each. The group’s flagship company Adani Enterprises was down 3.5 per cent.

The companies opened in the red even as the group on Thursday said it was planning to sue Hindenburg Research for its “maliciously mischievous” report which alleged “brazen stock manipulation and accounting fraud scheme” by the group over the course of decades.

“We are evaluating the relevant provisions under US and Indian laws for remedial and punitive action against Hindenburg Research,” Jatin Jalundhwala, Group Head – Legal, Adani, said in a statement.

Responding to the legal threat, Hindenburg Research said it stood by its report and believed any legal action taken against it would be “meritless”.

“If Adani is serious, it should also file suit in the US where we operate. We have a long list of documents we would demand in a legal discovery process,” Hindenburg Research said on Twitter.

The research firm also said in the 36 hours since it released the report, Adani hadn’t addressed a single substantive issue it had raised.

Subscriber Only Stories

“At the conclusion of our report, we asked 88 straightforward questions that we believe give the company a chance to be transparent. Thus far, Adani has answered none of these questions,” it said. “Instead, as expected, Adani has resorted to bluster and threats. In a statement to the media today, Adani referred to our 106-page, 32,000-word report, with over 720 citations and prepared over the course of 2 years, as ‘unresearched’,” Hindenburg Research said.