Adani’s actions jump after the Indian regulator rejected certain Hindenburg complaints

The actions of the flagship company have climbed the most since August 11, Friday. Securities and Exchange Board of India, or SEBI, said the day before, there was no evidence of the Indian conglomerate using so -called parties of linked parties to transport funds in its units listed in two orders on its website. The Adani group has repeatedly denied the accusations made for the first time by Hindenburg, which has since dissolved.

The actions of the 10 companies controlled by the group have been acquired, led by Adani Total Gas Ltd. which jumped more than 13%.

Although the regulator ordinances do not eliminate the conglomerate of ports with power of other allegations raised by the uncovered seller, they always mark a stay for the Empire of Adani and validate his position of not being in violation of local laws. The richest second in Asia continues to face a regulatory overhang of an indictment by the United States Ministry of Justice last year in an alleged corruption program of $ 250 million.

SEBI’s investigation was linked to short-seller allegations that Adicorp Enterprises PVT, Milestone Tradelinks PVT. and Rehvar infrastructure PVT. were used as a duct to transport funds from various companies from the Adani group to finance Adani Power Ltd. and Adani Enterprises Ltd.

Not a linked part

There was no violation of SEBI disclosure standards because transactions between Adicorp, Milestone Tradelinks and Rehvar Infrastructure with conglomerate companies did not respond to the definition of a related party, said Kamlesh C. Varshney, member of the SEBI board of directors.

The scathing report to short -term sellers in January 2023 had allegedly alleged a large -scale business fraud and manipulation of the share price, triggering a current rout which eroded at a given time more than $ 150 billion in market value for the adani listed adani entities and led to a local regulatory survey led by the court. This also interrupted the expansion fueled by Adani.

The conglomerate, which often aligns with the development objectives of Prime Minister Narendra Modi and controls large expanses of the Indian infrastructure sector, has not yet completely recovered the erosion of the market value caused by the accusations of the exposed seller.

The group’s market capitalization was $ 156 billion early Friday, compared to $ 235 billion on the eve of the Hindenburg report in January 2023.

The Supreme Court of India said in January 2024 that no other probe was necessary after Sebi closed his investigation. Adani had also applauded this verdict.

Adani is now faced with the greatest risk of the US investigation where his efforts to obtain these fraud charges against him have been blocked in recent months, Bloomberg News reported earlier this month, citing people familiar with the problem.

Sebi’s conclusions “could conduct Adani’s bonds of bonds to tighten slightly, although the American accusations against Gautam Adani can remain overlooking,” said Sharon Chen, Bloomberg Intelligence credit analyst in a note.