Adani shares nosedive after indictment, group scraps $600 million bond offering
Updated: Nov 21st, 2024
After the Indian billionaire Gautam Adani, who owns Adani Group, was indicted by a US court on Wednesday, shares plummeted significantly of all Adani Group companies.
The companies saw losses between 10% or 20% at the start of trading on Thursday.
According to the reports of Bloomberg, Adani Group’s renewable units scrapped a $600 million bond offering after Adani was linked to the bribery case by the US court.
Adani Ports and Adani Enterprises, the two Nifty 50-listed companies are down in a circuit of 10% each, while other group companies like Adani Green Energy, Adani Energy Solutions, Adani Total Gas and Adani Power are down between 15% to 20% in early trading.
Image: Google finance |
The Indian stock market indices, the Sensex and Nifty50, experienced a negative start on Thursday morning. At 10 AM, the Sensex was trading at 76,066.20, a decline of 506.90 points or 0.80%. Similarly, the Nifty50 was at 23,337.85, having plummeted by 175 points or 0.75%.
“Between 2020 and 2024, senior executives of an Indian renewable-energy company, which was a portfolio company of an Indian conglomerate, an issuer company that operated in the renewable-energy sector whose securities were traded on the US exchange and that issuer's largest shareholder, a Canadian institutional investor, participated in a scheme to bribe Indian government officials to ensure execution of lucrative solar energy supply contracts with Indian Government entities,” the US District Court said in its order.
Also read:
US court charges Adani with fraud accusing him of paying $250 million in bribes
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