By using this site, you agree to the Privacy Policy and Terms of Use.
Accept
IndebtaIndebta
  • Home
  • News
  • Banking
  • Credit Cards
  • Loans
  • Mortgage
  • Investing
  • Markets
    • Stocks
    • Commodities
    • Crypto
    • Forex
  • Videos
  • More
    • Finance
    • Dept Management
    • Small Business
7
Notification Show More
Videos
Oil prices see biggest jump in 3 years on Israel-Iran escalations. Analyst talks risk for producers.
12 hours ago
Videos
How foreign trade zones help companies skirt Trump tariffs
13 hours ago
News
Fidelity Overseas Fund Q2 2025 Commentary (Mutual Fund:FOSFX)
13 hours ago
Videos
What Israel’s strike on Iran means for markets
2 days ago
Videos
Rare Earths Are China’s Trump Card In The trade war — How The U.S. Is Trying To Fix That
2 days ago
Videos
Crypto’s resilience faces new test amid Middle East tensions and new legislation
3 days ago
Videos
Tesla Opened A Diner In LA — Here’s What It’s Like
3 days ago
Aa
IndebtaIndebta
Aa
  • Banking
  • Credit Cards
  • Loans
  • Dept Management
  • Mortgage
  • Markets
  • Investing
  • Small Business
  • Videos
  • Home
  • News
  • Banking
  • Credit Cards
  • Loans
  • Mortgage
  • Investing
  • Markets
    • Stocks
    • Commodities
    • Crypto
    • Forex
  • Videos
  • More
    • Finance
    • Dept Management
    • Small Business
Follow US
Indebta > News > Adani Group seeks to issue shares for first time since short selling attack
News

Adani Group seeks to issue shares for first time since short selling attack

News Room
Last updated: 2023/05/13 at 8:16 AM
By News Room
Share
3 Min Read
SHARE

Indian tycoon Gautam Adani’s companies are seeking to issue shares for the first time since a short seller accused the billionaire’s group of accounting fraud and stock price manipulation this year.

Two Adani Group companies will issue shares in a bid to raise up to $2.5bn, they said in stock exchange filings on Saturday, in a sign that the previously growth-hungry company is seeking to return to business as usual in the wake of the accusations by New York-based Hindenburg Research in January.

Adani denied Hindenburg’s accusations in a 413-page rebuttal.

The market turmoil it triggered forced the group to call off a $2.4bn stock offering by flagship company Adani Enterprises as its share price plunged. At the worst point in the market rout, Adani’s combined stock lost about $150bn in value.

Its share price has since rallied somewhat, though it remains well below its pre-sell-off level.

The board of Adani Enterprises, which includes Adani’s coal trading and airport businesses, on Saturday approved a plan to raise Rs125bn ($1.5bn) by selling shares. The board of Adani Transmission, an electricity unit, approved an Rs85bn ($1bn) raise.

The announcements were made in separate stock exchange filings after the board meetings.

The two companies said shares may be sold by “qualified institutional placement” — a less regulated route than a market offering for corporates to raise money from institutions such as banks or funds — or other methods. They did not indicate who the buyers were likely to be, or what the funds would be used for.

Since Hindenburg published its report Adani has tried to reassure investors by cutting down debt, including paying back $2.65bn of share-backed loans, and holding off on non-core investment.

This week Adani Group said that capital expenditure “in new areas of investment, outside the core, is being re-evaluated in the short term”.

A $1.9bn secondary share sale to US-based investment firm GQG Partners in early March helped boost its stock price. In quarterly earnings this month, Adani Enterprises reported profits after tax had more than doubled to Rs7.8bn ($95mn) compared with the same period last year.

But this week global index provider MSCI dropped Adani Transmission and Adani Total Gas — Adani’s city gas business in partnership with France’s Total Energies — from its India equities benchmark.

MSCI reduced its assessment of how much of the two companies’ stock is available to be traded after the Hindenberg report, and on Friday said that the stocks no longer met its minimum requirements for free float size.

A third listed company, Adani Green Energy, had been due to decide on a fundraising on Saturday. But the renewables company said the meeting had been rescheduled to May 24, citing “certain exigencies”.

Read the full article here

News Room May 13, 2023 May 13, 2023
Share this Article
Facebook Twitter Copy Link Print
Leave a comment Leave a comment

Leave a Reply Cancel reply

Your email address will not be published. Required fields are marked *

Finance Weekly Newsletter

Join now for the latest news, tips, and analysis about personal finance, credit cards, dept management, and many more from our experts.
Join Now
Oil prices see biggest jump in 3 years on Israel-Iran escalations. Analyst talks risk for producers.

Watch full video on YouTube

How foreign trade zones help companies skirt Trump tariffs

Watch full video on YouTube

Fidelity Overseas Fund Q2 2025 Commentary (Mutual Fund:FOSFX)

This article was written byFollowFidelity’s mission is to strengthen the financial well-being…

What Israel’s strike on Iran means for markets

Watch full video on YouTube

Rare Earths Are China’s Trump Card In The trade war — How The U.S. Is Trying To Fix That

Watch full video on YouTube

- Advertisement -
Ad imageAd image

You Might Also Like

News

Fidelity Overseas Fund Q2 2025 Commentary (Mutual Fund:FOSFX)

By News Room
News

Empire State Realty Trust, Inc. (ESRT) Q2 2025 Earnings Call Transcript

By News Room
News

Crown Castle Inc. 2025 Q2 – Results – Earnings Call Presentation (NYSE:CCI)

By News Room
News

Microsoft poaches top Google DeepMind staff in AI talent war

By News Room
News

White Brook Capital Partners Q2 2025 Commentary

By News Room
News

EU must strengthen Asian security ties despite US pressure, says Kaja Kallas

By News Room
News

US embassy in China warns exit bans risk straining bilateral relations

By News Room
News

Client Challenge

By News Room
Facebook Twitter Pinterest Youtube Instagram
Company
  • Privacy Policy
  • Terms & Conditions
  • Press Release
  • Contact
  • Advertisement
More Info
  • Newsletter
  • Market Data
  • Credit Cards
  • Videos

Sign Up For Free

Subscribe to our newsletter and don't miss out on our programs, webinars and trainings.

I have read and agree to the terms & conditions
Join Community

2023 © Indepta.com. All Rights Reserved.

Welcome Back!

Sign in to your account

Lost your password?