During Friday’s trading session, Adani Group stocks surged by up to 13 percent, a day after the Securities and Exchange Board of India (SEBI) dismissed allegations made by Hindenburg Research against Chairman Gautam Adani and the group’s companies. In its order, the regulator clarified that there was no question of liability devolving on the group and that no penalties would be imposed.
SEBI further announced that it had closed ongoing proceedings against Adani Ports, Adani Power, Gautam Adani, and Rajesh Adani, providing significant relief to the conglomerate.
The regulator also rejected claims of concealed related-party transactions, noting that the broader definition covering indirect dealings was introduced only through the 2021 amendment to the LODR rules. Applying this definition retrospectively, SEBI stated, would be legally untenable.
In January 2023, Hindenburg Research alleged that the Adani Group had used three entities – Adicorp Enterprises, Milestone Tradelinks, and Rehvar Infrastructure – to channel funds between group companies.
In its findings, issued through two separate orders, SEBI concluded that there were no violations. The regulator noted that at the time of the transactions, such dealings with unrelated parties were not considered related-party transactions, and the definition was only expanded later.
Confirming that all loans had been repaid, funds were utilised for their intended purposes, and no fraud or unfair trade practices were involved, SEBI closed all proceedings against the Adani Group.
Reacting to the development, Gautam Adani stated that SEBI’s findings reaffirmed the baselessness of Hindenburg’s allegations. He also expressed sympathy for investors who suffered losses due to what he described as a “motivated report.”
Here are a few Adani Group stocks that recorded a significant jump in share prices on Friday, following SEBI’s dismissal of the Hindenburg allegations:
Adani Ports and Special Economic Zone Limited
With a market cap of Rs. 3.08 lakh crores, the stock moved up by about 3 percent on BSE, to hit an intraday high at Rs. 1,451.95 on Friday.
Adani Enterprises Limited
With a market cap of Rs. 2.87 lakh crores, the stock moved up by about 5 percent on BSE, to hit an intraday high at Rs. 2,527.55 on Friday.
Adani Green Limited
With a market cap of Rs. 1.6 lakh crores, the stock moved up by about 5 percent on BSE, to hit an intraday high at Rs. 1,032.3 on Friday.
Adani Energy Solutions Limited
With a market cap of Rs. 1.03 lakh crores, the stock moved up by about 6 percent on BSE, to hit an intraday high at Rs. 884.35 on Friday.
Adani Power Limited
With a market cap of Rs. 2.61 lakh crores, the stock moved up by about 9 percent on BSE, to hit a new 52-week high at Rs. 686.95 on Friday.
Adani Total Gas Limited
With a market cap of Rs. 71,757 crores, the stock moved up by about 13 percent on BSE, to hit an intraday high at Rs. 687.35 on Friday.
Written by Shivani Singh
Disclaimer
The views and investment tips expressed by investment experts/broking houses/rating agencies on tradebrains.in are their own, and not that of the website or its management. Investing in equities poses a risk of financial losses. Investors must therefore exercise due caution while investing or trading in stocks. Trade Brains Technologies Private Limited or the author are not liable for any losses caused as a result of the decision based on this article. Please consult your investment advisor before investing.
