New Delhi. Amid the release of Hindenburg’s new report, shares of eight out of the 10 listed companies of the Adani Group closed with a decline on Monday. Amid this decline, the market valuation of the group companies collectively declined by Rs 22,064 crore. The total market capitalization of the group companies is Rs 17 lakh crore.
In a report released on Saturday, American research and investment firm Hindenburg Research has made several allegations against the Adani Group as well as the head of market regulator SEBI, Madhavi Puri Buch. Due to the impact of this report, the shares of the group’s companies were trading with a decline in the early trade. But after some time the decline reduced to a great extent.
At the end of trading on BSE, shares of Adani Wilmar fell 4.14 per cent, Adani Total Gas 3.88 per cent, Adani Energy Solutions 3.70 per cent, NDTV 3.08 per cent, Adani Ports 2.02 per cent, Adani Enterprises 1.09 per cent, ACC 0.97 per cent and Adani Power 0.65 per cent.
However, shares of group company Ambuja Cements closed up 0.55 per cent and Adani Green Energy closed up 0.22 per cent.
At one point during trading, Adani Energy Solutions’ stock fell by 17 percent, Adani Total Gas by 13.39 percent, NDTV by 11 percent and Adani Power by 10.94 percent. Adani Green Energy’s stock fell by 6.96 percent, Adani Wilmar by 6.49 percent, Adani Enterprises by 5.43 percent, Adani Ports by 4.95 percent, Ambuja Cements by 2.53 percent and ACC by 2.42 percent.
Hindenburg has said in its report that Securities and Exchange Board of India (SEBI) Chairperson Madhabi Puri Buch and her husband Dhabal Buch had made undeclared investments in obscure foreign funds in Bermuda and Mauritius. It said that these are the same funds that were allegedly used by Vinod Adani to embezzle money and increase the share prices of the group’s companies. Vinod Adani is the elder brother of Adani Group Chairperson Gautam Adani.
The Adani Group has denied any commercial dealings with the SEBI chief. Asset management unit 360One (formerly known as IIFL Wealth Management) said in a separate statement that Buch and her husband Dhawal Buch’s investment in IPE-Plus Fund 1 was less than 1.5 per cent of the total investment and it had not made any investment in Adani Group shares.