Adani breathes: Shares up 25%
🚩 During the last few weeks, many spotlights have been on India following the statements made by Hindenburg Research towards the Indian conglomerate, accusing them of share price manipulation, high indebtedness and continued use of tax havens.
🚩 Adani Group is the largest company in India as it has many types of business: port management, power generation, airport management, mining… Moreover, its founder, Gautam Adani, is the richest man in India (before the share price fell, he was the 3rd richest man in the world according to Forbes).
🚩 Following the allegations, the conglomerate’s shares lost a value of $120 billion, and Adani was forced to cancel a share sale, and according to some industry sources, a bond issue. Earlier in the week, Adani confirmed that he would repay a $1.1 billion loan, resulting in a 25% rise in the share price. Even so, the group’s share price is still less than half its share price at the beginning of the year.
🚩 The next few weeks will be key for the conglomerate, which will have to prove its financial soundness and, above all, disprove the serious accusations of price manipulation and the use of tax havens.