Indian market regulators have confirmed they are investigating Hindenburg Research allegations against companies owned by billionaire Gautam Adani. The Securities and Exchange Board of India (SEBI) also said it was investigating market movements around the report. Adani’s business empire had lost more than $100 billion (£82.3 billion) in market value following allegations of market manipulation and financial fraud. Adani Group denies this claim.
Meanwhile, the conglomerate’s flagship company, Adani Enterprises, reported a net profit of nearly $100m for the October to December quarter, against a loss of $1.5m in the same period a year earlier. Its total revenue jumped by 42% to $3.3bn, owing to a strong performance in its airports, coal trading, and new energy businesses. The company did not announce any cutback in growth projections or investment plans or comment on the decision by France’s TotalEnergies to put its partnership with Adani for a green hydrogen project on hold following the Hindenburg report.
Shares in Adani Enterprises were up 5% on Mumbai’s stock exchange after plunging nearly 50% over the past month. Adani’s group consists of seven publicly traded companies operating in a variety of sectors including commodity trading, airports, utilities, ports, and renewable energy. Last month, a report by US-based short-seller Hindenberg Research alleges that the Adani Group of companies had been involved in decades of “brazen” stock manipulation and accounting fraud.
