Indian giant Adani succeeds in raising money but exits Hindenburg weakened.
Despite the attack of the American company Hindenburg Research, the Indian conglomerate managed to collect 2.5 billion dollars from investors.
relief for Gautam Adani on the Bombay Stock Exchange. Asia’s richest man raised capital after a tumultuous week for his conglomerate 2.5 billion dollars Adani Enterprises, the group’s flagship, was finally fully subscribed at the close of the Indian market on Tuesday.
This was a new stock sale decisive It was a real test of faith for the billionaire and the industrial empire he had built over the past few years. By raising funds of this magnitude, Adani intended to reduce the significance of its debt. media anxiety last week.
The Empire Strikes Back
Within days, there was a total value of the conglomerate’s securities It decreased by about 70 billion dollarsAmerican investment firm Hindenburg Research said on Thursday that “brazen stock manipulation and fraud system accountant for several decades.
“This is not just an unprovoked attack on a specific company, but a calculated attack on India.”
The main reprimands drawn up by Hindenburg, had taken a short position Adani’s shares follow a meteoric rise over the past three years in the shares of the group’s seven main listed companies, which the company believes are overvalued, as well as high debt ratio from several of them.
criticisms swept away The billionaire mentioned in his press release that his companies are managed by international rating agencies and independent auditors. “This is not just an unfounded attack on a particular company, but A calculated attack on IndiaThe independence, integrity and quality of Indian institutions, India’s history of growth and ambition,” he said.
in front of 15% reduction In several sessions of the Adani Enterprises course, observers questioned the outcome of this secondary financing, the largest in the history of the Indian stock market. The stock price was really fell under the subscriptionmaking its success even more uncertain, with some sources talking about a potential drop in shares already on sale.
Last week, however, 30% of the total supply was already subscribed, including by long-term investors Jupiter Asset ManagementListed in London as well BNP Paribas, Societe Generale and Goldman Sachs. But the rest of the acts had a hard time finding their audience. Ultimately, Adani was able to rely on other foreign institutional investors, while the involvement of individuals and group employees remained low. despite all the pages taken from the national newspapers to encourage subscription.
If this success dispels some doubts about the Indian giant, the Hindenburg report but it will leave marks. Some of the group companies like Adani Transmission, Adani Total Gas or Adani Green Power, all specialized in the field of energyIt represents more than a third of the decline in prices since the beginning of 2023.
His fortune fell 84.4 billion dollars, Gautam Adani, in turn, slipped in Bloomberg’s ranking of global billionaires. Jeff Bezos (Amazon), Bill Gates (Microsoft), Warren Buffett (Berkshire Hathaway), Larry Ellison (Oracle), Larry Page and Sergey Brin (Google), Steve Ballmer (Microsoft) and Mexican Carlos Slim (Grupo Carso) falls 11th place one of the richest people in the world.