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Adani Group companies lost up to $19 billion in market value on Monday following Hindenburg Research’s claims that the Indian market regulator investigating the group has connections to offshore funds also utilized by Adani.
Billionaire Gautam Adani’s main company, Adani Enterprises, dropped 2% in morning trading, with other group companies declining between 2% and 4.5%. Adani Enterprises and Adani Ports were among the biggest decliners on India’s Nifty 50 index. The total losses for Adani companies decreased to $9 billion after the initial decline.
Hindenburg is a short-seller based in New York that got its name from the 1937 airship tragedy. When it claimed that the Adani Group had manipulated stocks and improperly used tax havens, it created one of the most spectacular revolutions in the annals of Indian business history in January 2023. By staking on a decline in share value, short sellers profit. Here, Hindenburg earned $4.1 million.
At the time, Adani refuted every accusation
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