Adani Enterprises Shares Erase Losses from Hindenburg Report, Driven by Debt Reduction and Major Projects

GG News Bureau
Mumbai, 24th May. Shares of Adani Enterprises Ltd., the flagship company of Indian billionaire Gautam Adani’s conglomerate, have rebounded completely from the significant losses incurred due to a critical short-seller report in early 2023. This recovery follows the group’s strategic debt reduction and acquisition of major projects.

The stock recovered from over $30 billion in losses after US-based Hindenburg Research alleged widespread corporate malfeasance and share-price manipulation at the ports-to-power conglomerate in January 2023. The Adani group has consistently denied these allegations.

On Friday, Adani Enterprises’ stock increased by 1.7% to 3,445.05 INR in Mumbai, nearly tripling from its lowest point in February 2023. This recent surge is partly due to expectations among analysts that Adani Enterprises’ stock may be included in the benchmark S&P BSE Sensex Index in June, potentially attracting passive investment flows.

Additionally, other Adani companies are actively engaging with global investors to secure new debt as the group advances its plans to expand its cement and copper businesses. Alongside Adani Enterprises, at least five of the ten listed Adani group stocks are now trading above their pre-Hindenburg report levels.

This recovery marks a significant turnaround for the Adani conglomerate, highlighting its resilience and strategic management amidst challenging allegations and market conditions.