Adani Group termed the report published by the US-based Hindenburg Research as a malicious combination of selective misinformation and stale, baseless and discredited allegations to damage the prospects of the follow-on public offer (FPO) of the Group’s flagship Adani Enterprises Limited.
In its so-called revelations, Hindenburg Research had accused the Adani Group of manipulation of stock and fraud.
Expressing its shock over the research report by the analyst group, which said it was taking a short position on the Adani Group stocks, Jugeshinder Singh, Chief Financial Officer, Adani Group rubbished the report saying that the report was published “without making any attempt to contact us or verify the factual matrix”.
“The timing of the report’s publication clearly betrays a brazen, mala fide intention to undermine the Adani Group’s reputation with the principal objective of damaging the upcoming follow-on public offering from Adani Enterprises, the biggest FPO ever in India,” he said.
Adani’s FPO opened for subscription under anchor investor categories on Wednesday and was oversubscribed.
“The report is a malicious combination of selective misinformation and stale, baseless and discredited allegations that have been tested and rejected by India’s highest courts,” he added.
Notably, the seven group companies from the Adani stable witnessed heavy selloff immediately after the report was made online during market hours on Wednesday. The stocks slipped up to 8.5 per cent in the early trades.
“The investor community has always reposed faith in the Adani Group on the basis of detailed analysis and reports prepared by financial experts and leading national and international credit rating agencies. Our informed and knowledgeable investors are not influenced by one-sided, motivated and unsubstantiated reports with vested interests,” Singh said.
“The Adani Group, which is India’s leader in infrastructure and job creation, is a diverse portfolio of market-leading businesses managed by CEOs of the highest professional calibre and overseen by experts in various fields for several decades. The Group has always been in compliance with all laws, regardless of jurisdiction, and maintains the highest standards of corporate governance,” the CFO said trashing all the allegations levelled in the report.