{"id":101,"date":"2023-01-26T06:06:07","date_gmt":"2023-01-26T11:06:07","guid":{"rendered":"https:\/\/embarrdowns.com\/?p=101"},"modified":"2023-01-26T06:06:08","modified_gmt":"2023-01-26T11:06:08","slug":"adani-group-stocks-plummet-following-hindenburg-research-report-alleging-stock-manipulation-accounting-fraud","status":"publish","type":"post","link":"https:\/\/embarrdowns.com\/adani-group-stocks-plummet-following-hindenburg-research-report-alleging-stock-manipulation-accounting-fraud\/","title":{"rendered":"Adani Group Stocks Plummet Following Hindenburg Research Report Alleging Stock Manipulation & Accounting Fraud"},"content":{"rendered":"

Hindenburg Research, a US-based investment research firm that specialises in activist short-selling, has released a report alleging that Indian conglomerate, Adani Group, has engaged in \u2018brazen stock manipulation and accounting fraud\u2019 over the course of decades.[0]<\/a><\/sup> [1]<\/a><\/sup><\/p>\n

Gautam Adani, the world’s third richest man with a net worth of nearly $119 billion (as reported by Bloomberg), is the chairman of the Adani Group.[2]<\/a><\/sup> The group is India\u2019s second-largest conglomerate and has seen its share valuations skyrocket over the past few years.<\/p>\n

The report suggests that the group has taken on substantial debt, including pledging shares of their inflated stock for loans, putting the entire group on precarious financial footing.<\/p>\n

In response to the report, Adani Group Chief Financial Officer Jugeshinder Singh said that it was a \u201cmalicious combination of selective misinformation and stale, baseless and discredited allegations that have been tested and rejected by India\u2019s highest courts\u201d.[3]<\/a><\/sup> He also noted that the investor community has always had faith in the Adani Group and that they were not influenced by \u201cone-sided, motivated and unsubstantiated reports with vested interests\u201d.[4]<\/a><\/sup><\/p>\n

In September 2019, CreditSights (a part of the Fitch Group) labeled the group as “overleveraged”.[1]<\/a><\/sup> Despite correcting some calculation errors, CreditSights still expressed that it had “concerns” regarding its debt.[5]<\/a><\/sup><\/p>\n

The seven Adani Group stocks lost \u20b946,086 crore in market cap on Wednesday. Shares of the seven listed Adani group companies fell between 3% and 7% today.<\/p>\n

The Adani Group said that it is shocked that Hindenburg Research had published a report without making any attempt to contact them or verify the factual matrix.[3]<\/a><\/sup> The statement said that their informed and knowledgeable investors are not influenced by one-sided, motivated and unsubstantiated reports with vested interests.[6]<\/a><\/sup><\/p>\n

It is clear that the report has had a significant impact on the Adani Group\u2019s stocks, and the group will be hoping the investor community will remain confident in the firm in the face of the accusations.<\/p>\n

0. <\/span>“Adani Group, India\u2019s Biggest Corporation, Accused by Hindenburg Research of \u2018Largest Con\u2019 in History” Variety, 25 Jan. 2023, https:\/\/variety.com\/2023\/biz\/news\/adani-group-india-accused-by-hindenburg-1235501697<\/a><\/a><\/p>\n

1. <\/span>“Hindenburg alleges \u2018brazen\u2019 fraud by Adani; company calls it malicious, baseless” The Indian Express, 25 Jan. 2023, https:\/\/indianexpress.com\/article\/business\/hindenburg-alleges-brazen-fraud-by-adani-company-calls-it-malicious-baseless-8404042\/<\/a><\/a><\/p>\n

2. <\/span>“Stock in companies run by world’s third-wealthiest billionaire slump after short-seller report” MarketWatch, 25 Jan. 2023, https:\/\/www.marketwatch.com\/story\/stock-in-companies-run-by-worlds-third-wealthiest-billionaire-slump-after-short-seller-report-11674641663<\/a><\/a><\/p>\n

3. <\/span>“Gautam Adani, Asia’s richest man, accused of “largest con in corporate history”” Asia Markets, 25 Jan. 2023, https:\/\/www.asiamarkets.com\/gautam-adani-asias-richest-man-accused-of-largest-con-in-corporate-history<\/a><\/a><\/p>\n

4. <\/span>“\u2018Malicious combination of selective misinformation and stale, baseless & discredited allegations\u2019: Adani Group on Hindenburg Research report” OpIndia, 25 Jan. 2023, https:\/\/www.opindia.com\/2023\/01\/adani-group-rubbishes-hindenburg-research-allegations-as-baseless-misinformation\/<\/a><\/a><\/p>\n

5. <\/span>“US-based research firm alleges ‘brazen’ fraud by Adani; company calls it malicious, baseless” Rediff.com, 25 Jan. 2023, https:\/\/www.rediff.com\/business\/report\/us-based-research-firm-alleges-brazen-fraud-by-adani-company-calls-it-malicious-baseless\/20230125.htm<\/a><\/a><\/p>\n

6. <\/span>“Report’s publication betrays brazen, mala fide intention to undermine Adani Group’s reputation'” True Scoop, 25 Jan. 2023, https:\/\/www.truescoopnews.com\/newsdetail\/reports-publication-betrays-brazen-mala-fide-intention-to-undermine-adani-groups-reputation<\/a><\/a><\/p>\n","protected":false},"excerpt":{"rendered":"

Hindenburg Research, a US-based investment research firm that specialises in activist short-selling, has released a report alleging that Indian conglomerate, Adani Group, has engaged in \u2018brazen stock manipulation and accounting fraud\u2019 over the course of decades.[0]<\/a><\/sup> [1]<\/a><\/sup><\/p>\n

Gautam Adani, the world’s third richest man with a net worth of nearly $119 billion (as reported by Bloomberg), is the chairman of the Adani Group.[2]<\/a><\/sup> The group is India\u2019s second-largest conglomerate and has seen its share valuations skyrocket over the past few years.<\/p>\n

The report suggests that the group has taken on substantial debt, including pledging shares of their inflated stock for loans, putting the entire group on precarious financial footing.<\/p>\n

In response to the report, Adani Group Chief Financial Officer Jugeshinder Singh said that it was a \u201cmalicious combination of selective misinformation and stale, baseless and discredited allegations that have been tested and rejected by India\u2019s highest courts\u201d.[3]<\/a><\/sup> He also noted that the investor community has always had faith in the Adani Group and that they were not influenced by \u201cone-sided, motivated and unsubstantiated reports with vested interests\u201d.[4]<\/a><\/sup><\/p>\n

In September 2019, CreditSights (a part of the Fitch Group) labeled the group as “overleveraged”.[1]<\/a><\/sup> Despite correcting some calculation errors, CreditSights still expressed that it had “concerns” regarding its debt.[5]<\/a><\/sup><\/p>\n

The seven Adani Group stocks lost \u20b946,086 crore in market cap on Wednesday. Shares of the seven listed Adani group companies fell between 3% and 7% today.<\/p>\n

The Adani Group said that it is shocked that Hindenburg Research had published a report without making any attempt to contact them or verify the factual matrix.[3]<\/a><\/sup> The statement said that their informed and knowledgeable investors are not influenced by one-sided, motivated and unsubstantiated reports with vested interests.[6]<\/a><\/sup><\/p>\n

It is clear that the report has had a significant impact on the Adani Group\u2019s stocks, and the group will be hoping the investor community will remain confident in the firm in the face of the accusations.<\/p>\n

0. <\/span>“Adani Group, India\u2019s Biggest Corporation, Accused by Hindenburg Research of \u2018Largest Con\u2019 in History” Variety, 25 Jan. 2023, https:\/\/variety.com\/2023\/biz\/news\/adani-group-india-accused-by-hindenburg-1235501697<\/a><\/a><\/p>\n

1. <\/span>“Hindenburg alleges \u2018brazen\u2019 fraud by Adani; company calls it malicious, baseless” The Indian Express, 25 Jan. 2023, https:\/\/indianexpress.com\/article\/business\/hindenburg-alleges-brazen-fraud-by-adani-company-calls-it-malicious-baseless-8404042\/<\/a><\/a><\/p>\n

2. <\/span>“Stock in companies run by world’s third-wealthiest billionaire slump after short-seller report” MarketWatch, 25 Jan. 2023, https:\/\/www.marketwatch.com\/story\/stock-in-companies-run-by-worlds-third-wealthiest-billionaire-slump-after-short-seller-report-11674641663<\/a><\/a><\/p>\n

3. <\/span>“Gautam Adani, Asia’s richest man, accused of “largest con in corporate history”” Asia Markets, 25 Jan. 2023, https:\/\/www.asiamarkets.com\/gautam-adani-asias-richest-man-accused-of-largest-con-in-corporate-history<\/a><\/a><\/p>\n

4. <\/span>“\u2018Malicious combination of selective misinformation and stale, baseless & discredited allegations\u2019: Adani Group on Hindenburg Research report” OpIndia, 25 Jan. 2023, https:\/\/www.opindia.com\/2023\/01\/adani-group-rubbishes-hindenburg-research-allegations-as-baseless-misinformation\/<\/a><\/a><\/p>\n

5. <\/span>“US-based research firm alleges ‘brazen’ fraud by Adani; company calls it malicious, baseless” Rediff.com, 25 Jan. 2023, https:\/\/www.rediff.com\/business\/report\/us-based-research-firm-alleges-brazen-fraud-by-adani-company-calls-it-malicious-baseless\/20230125.htm<\/a><\/a><\/p>\n

6. <\/span>“Report’s publication betrays brazen, mala fide intention to undermine Adani Group’s reputation'” True Scoop, 25 Jan. 2023, https:\/\/www.truescoopnews.com\/newsdetail\/reports-publication-betrays-brazen-mala-fide-intention-to-undermine-adani-groups-reputation<\/a><\/a><\/p>\n","protected":false},"author":3,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[47],"tags":[],"_links":{"self":[{"href":"https:\/\/embarrdowns.com\/wp-json\/wp\/v2\/posts\/101"}],"collection":[{"href":"https:\/\/embarrdowns.com\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/embarrdowns.com\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/embarrdowns.com\/wp-json\/wp\/v2\/users\/3"}],"replies":[{"embeddable":true,"href":"https:\/\/embarrdowns.com\/wp-json\/wp\/v2\/comments?post=101"}],"version-history":[{"count":0,"href":"https:\/\/embarrdowns.com\/wp-json\/wp\/v2\/posts\/101\/revisions"}],"wp:attachment":[{"href":"https:\/\/embarrdowns.com\/wp-json\/wp\/v2\/media?parent=101"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/embarrdowns.com\/wp-json\/wp\/v2\/categories?post=101"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/embarrdowns.com\/wp-json\/wp\/v2\/tags?post=101"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}