INSUBCONTINENT EXCLUSIVE:
US-based short-seller Hindenburg Researchs report on the finances and valuation of Adani business has actually given a stop the meteoric
increase in the fortunes of group companies on the bourses
The Adani group has lost more than a quarter of its combined market capitalisation (m-cap) given that the publication of the report on
Wednesday; it has actually fallen behind the Mukesh Ambani group in the m-cap league table.
The combined m-cap of the 10 listed Adani
companies decreased sharply to Rs 15.02 trillion on Friday, from Rs 19.20 trillion on Tuesday-- the day prior to the publication of the
Hindenburg Research report
In contrast, the combined m-cap of 10 Mukesh Ambani group companies, including Reliance Industries, is down 3.21 percent to Rs 16.09
trillion on Friday, from Rs 16.63 trillion on Tuesday
The Tata group remains on top with a group m-cap of Rs 21.6 trillion on Friday, marginally down from Rs 21.74 trillion on Tuesday.
In August
last year, the Adani group surpassed the Mukesh Ambani group in m-cap terms.
A sharp decrease in Adani group stocks in the previous 2
trading sessions is in contrast with a reasonably durable showing by other huge family-owned service groups on the bourses
For instance, the combined m-cap of the Rahul Bajaj group is down simply 0.24 percent in the previous 2 days, while AV Birla group companies
together have lost just Rs 9,000 crore worth of m-cap because Tuesday-- a 1.9 per cent decline
This excludes the varieties of Vodafone Idea.
A crisis in Adani stocks in the past two trading sessions indicates a turnaround in the
fortunes of the group, which has been the greatest gainer in the post-pandemic rally.
The combined m-cap of Adani group business was up 66
percent throughout the 2022 calendar year; the group gained 82.8 percent in CY22 if we include the listing of Adani Wilmar and the
acquisition of Ambuja Cement, ACC, and New Delhi Television
The group ended CY22 with a market value of Rs 21.3 trillion, up from Rs 11.64 trillion at the end of December 2022
The group purchased Holcim India properties in May in 2015 and acquired NDTV from its promoters in November in 2015.
In all, the Adani group
m-cap was up 419 percent in between January 2020 and December 2022, from Rs 4.1 trillion to Rs 21.3 trillion
After Fridays fall, its m-cap is the lowest given that March 2022.
In contrast, the Mukesh Ambani group integrated m-cap was up 6.9 per cent
in CY22, while the Sensex was up 4.4 percent.
While all Adani group stocks have actually seen a sharp fall in share prices and m-cap in the
previous two trading sessions, the investors of Adani Transmission have suffered the most following a 27.1 per cent decrease in m-cap
It is followed by Adani Total Gas, which is down 24.5 percent, and Ambuja Cements (-23.5 per cent)
The least effect has been on Adani Wilmar, NDTV, and Adani Power, each of which is down 9.7 per cent.Adani slips 4 places on abundant
list
Gautam Adani dropped 4 locations to end up being the worlds seventh-richest person on Friday
The net worth Adani, the first-generation magnate, dropped to $96.6 billion from $121 billion following the crash in his business stock
rates amidst the debate surrounding a scathing report by American short-seller Hindenburg Research, according to Forbes
The Adani group has actually denied the accusations.
