The Adani group has called the Hindenburg research report on the group a “baseless, malicious combination of selective misinformation and stale” after the report revealed it held short positions and made wide-ranging accusations.

“Misinformation and Stale”: Adani Group CFO

Ahead of the allegations, Adani Group CFO Jugeshinder Singh said, “We are shocked that Hindenburg Research has published a report dated 24 Jan 2023 without making any effort to contact us or verify the factual matrix. The report is a malicious combination of selective misinformation and stale, baseless and discredited allegations that have been tested and debunked by the Supreme Court of India.”

On Wednesday, the stocks of the seven listed Adani group companies fell between 3 per cent and 7 per cent after Hindenburg said that the key listed companies in the group controlled by billionaire Gautam Adani had substantial debt, which has put the entire group on a “precarious financial footing”.

The Hindenburg report comes ahead of the FPO (follow-on public offer) of Adani Enterprises, the group’s flagship company. The FPO issue will be open on 27 January 2023 i.e. Friday. Also, the floor price has been fixed at Rs. 3,112 per share.

Earlier, in the late session, Adani Enterprises shares have been pared some intraday losses and traded 1.2 per cent lower at Rs. 3,390.

“The timing of the report’s publication clearly shows an open, malicious intent to malign the reputation of the Adani Group with the main objective of damaging the upcoming follow-on public offering of Adani Enterprises, the largest ever FPO in India. The investor community has always reposed faith in the Adani Group based on detailed analysis and reports prepared by financial experts and leading national and international credit ratings,” said the CFO, Jugeshinder Singh.

Adani group has a diverse portfolio

Further, Mr Jugeshinder said that the Adani Group is India’s leader in infrastructure and job creation. It has a diverse portfolio of market-leading businesses managed by CEOs of the highest professional calibre and overseen by experts in diverse fields spanning decades.

“The Group has always been compliant with all laws, regardless of jurisdiction, and maintains the highest standards of corporate governance,” he added.