Adani Group says examining legal option against Hindenberg Research as shares plunge


Biznextindia : A day after Adani group shares took a beating as Hindenberg Research made damaging allegation against it, Gautam Adani-led Adani group on Thursday said that it is examining legal options under both Indian and US laws against Hindenburg Research.

In a statement, the Indian conglomerate said that the maliciously mischievous, unresearched report published by Hindenburg Research on 24 Jan 2023 has adversely affected the Adani Group, our shareholders and investors.

“The volatility in Indian stock markets created by the report is of great concern and has led to unwanted anguish for Indian citizens. Clearly, the report and its unsubstantiated contents were designed to have a deleterious effect on the share values of Adani Group companies as Hindenburg Research, by their own admission, is positioned to benefit from a slide in Adani shares. [“We hold short positions in Adani Group Companies through U.S.-traded bonds and non-Indian-traded derivatives, along with other non-Indian-traded reference securities.”] said Jatin Jalundhwala, Group Head – Legal, Adani Group.

“We are deeply disturbed by this intentional and reckless attempt by a foreign entity to mislead the investor community and the general public, undermine the goodwill and reputation of the Adani Group and its leaders, and sabotage the FPO (Follow-on Public Offering) from Adani Enterprises. We are evaluating the relevant provisions under US and Indian laws for remedial and punitive action against Hindenburg Research” he added.

On Wednesday, shares of Adani Transmission fell 8.87 per cent to close at Rs 2,511.75 per scrip on the Bombay Stock Exchange (BSE). Besides, Adani Ports & SEZ plunged 6.30 per cent to settle at Rs 712.90 per share and Adani Green energy slipped by 3 per cent and Adani enterprises sliped by 1.54 percent.

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