Indian billionaire Gautam Adani responded to the January charges made by US-based short seller Hindenburg research on Tuesday, calling the study a mix of deliberate disinformation.
Adani phoned Hindenburg to inform them of a fraudulent report that had decreased the value of their shares. According to him, the Hindenburg Report was an intentional, malicious effort to harm Adani Group’s image and make money by causing its stocks to decline in the near term.
Adani Group has refuted all of Hindenburg’s accusations and is preparing a recovery plan that includes redefining its goals, abandoning acquisitions, paying off debt in advance to allay worries about its cash flow borrowings, and slowing down the pace of expenditure on new projects.
Adani spoke up about the US-short seller Hindenburg Research, whose report from January of this year shocked the stock market with claims of accounting fraud and stock price manipulation at Adani Group, while addressing the annual general meeting of Adani Enterprises remotely. When the stock market collapsed, it caused a loss of nearly $145 billion in the conglomerate’s market value.
Adani said that the purpose of the study was to harm the conglomerate’s image and make money by driving down the value of its shares. “Parties with vested interests encouraged and promoted false narratives across various news and social media platforms,” the speaker said, “but Adani Group moved to protect investor interest and decided to withdraw FPO despite full subscription.”
According to NSDL statistics, Adani Enterprises raised the additional debt by pledging 21.4% of the company’s shares in Adani Road Transport. During the September 2022 bond offering, it has committed 1.95 percent of the shares of Adani Road Transport.
“Our record stands on its own. I appreciate the help our stakeholders provided as we overcame these obstacles, Adani remarked. In addition, he said, “no rating agency downgraded our ratings throughout this crisis, even though we raised billions from foreign investors.