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MUMBAI, NEW DELHI, April 29 (Reuters) - India’s market regulator has asked for a six-month extension to complete its probe into possible lapses in securities market laws and regulatory disclosures by billionaire Gautam Adani's Adani group, according to a court document seen by Reuters. SEBI and the Adani group did not immediately respond to a Reuters request for comment. The Supreme Court asked the regulator to conduct an inquiry into Adani after U.S.-based short-seller Hindenburg Research raised concerns around its governance practices in a January report. In its application, the regulator said it needed more time "to conduct a proper investigation and arrive at verified findings". The regulator said that it had received information from several Adani group entities.

[1/2] The Nasdaq logo is displayed at the Nasdaq Market site in Times Square in New York City, U.S., December 3, 2021. So-called meme rallies are unusual share price gains, driven by social media sites patronized by individual traders. Magic Empire Global Ltd (MEGL.O), a provider of financial advisory and underwriting services, jumped 328% to $3.97 per share. It had closed at $0.93, shedding 7.2%, with a market capitalization of $18.8 million during regular market hours on Thursday. Both Top Financial and Magic Empire are currently two of the most watched stocks on Stocktwits, a website that is popular among retail investors.

☆ Dollar bonds of India's Adani Ports rise as company starts debt buyback
▼ + stars: | 2023-04-24 | by ( ) www.reuters.com time to read: +1 min

MUMBAI, April 24 (Reuters) - The U.S. dollar-denominated bonds issued by India's Adani Ports and Special Economic Zone (APSE.NS) rose on Monday, after the company commenced a cash tender offer for a buyback of securities. On Monday, Adani Ports and Special Economic Zone (APSE.NS), part of the beleaguered Adani Group, said it has floated a tender of up to $130 million of 3.375% 2024 maturity dollar-denominated bonds. The company has engaged Barclays Bank, DBS Bank, Emirates NBD Bank PJSC, First Abu Dhabi Bank, PJSC, MUFG Securities Asia Singapore Branch, SMBC Nikko Securities (Hong Kong) and StandardChartered Bank to serve as dealer managers for the offer. The dollar bonds of Adani Transmission (ADAI.NS), Adani Green Energy (ADNA.NS) and Adani Electricity Mumbai were trading mixed. However, India's market regulator is looking into Hindenburg's allegations as well as the group's related party dealings following a Supreme Court directive.

☆ India's Adani Ports starts $130 mln buyback of debt securities
▼ + stars: | 2023-04-24 | by ( ) www.reuters.com time to read: +1 min

April 24 (Reuters) - India's Adani Ports and Special Economic Zone (APSE.NS), a group company of the beleaguered Adani Group, said on Monday it has started a buyback programme of certain debt securities to partly prepay near-term loans due in 2024. Adani Ports said in an exchange filing that it has floated a tender of up to $130 million in outstanding debt, as it tries to boost investor confidence after the group's shares were pummelled earlier this year by a U.S. short-seller's report. The Economic Times first reported on Monday, citing sources, that the Adani Group plans to buy back foreign currency bonds of various group companies, starting with a $650-million tranche at its ports unit. Adani Group did not immediately respond to a Reuters' request for comment on its buyback plans. Shares and bonds of Adani Group have regained some lost ground over the past month or so after it repaid some debt and attracted a $1.9 billion investment from boutique investment firm GQG Partners.

☆ Norway’s giant sovereign wealth fund says there’s money to be saved by identifying ‘rotten apples’
▼ + stars: | 2023-04-18 | by ( Sam Meredith | ) www.cnbc.com time to read: +1 min

Norges Bank Investment Management CEO Nicolai Tangen says it is becoming increasingly important to identify as many "rotten apples" as it can. Norway's gigantic sovereign wealth fund believes it is becoming increasingly important to identify as many "rotten apples" as possible, saying there is money to be saved by reducing risks to companies whose state of health is not all as it seems. "We think it's becoming more and more important to put resources into finding what I call the 'rotten apples.' The Jan. 24 report accused Adani Group companies of "brazen stock manipulation and accounting fraud" — allegations that the conglomerate has denied. We'll never be able to spot all of the 'rotten apples', but we can try to find as many as we can."

☆ KBW downgrades this payments stock with 'small risks starting to add up'
▼ + stars: | 2023-04-10 | by ( Brian Evans | ) www.cnbc.com time to read: +2 min

A growing list of headwinds is beginning to signal worry for Jack Dorsey's Block , according to KBW. The firm downgraded Block to market perform from outperform, citing pressure from small risks that are piling up. KBW also lowered its price target on Block shares to $75 per share from $90. "We think SQ's risk/reward profile has become less attractive as multiple risks are starting to add up," KBW's Steven Kwok wrote. "This could pressure volume growth, take rates, and ultimately profitability," Kwok said.

☆ Adani trumpets stable ties to global banks in bid to ease investor worries, document shows
▼ + stars: | 2023-04-05 | by ( Aditya Kalra | ) www.reuters.com time to read: +3 min

The document, which was reviewed by Reuters, did not elaborate on how the lenders reaffirmed their commitment to the Adani group. Adani group did not respond to a request for comment. Mitsubishi UFJ Financial Group Inc (MUFG) (8306.T), Sumitomo Mitsui Financial Group Inc's (8316.T) SMBC unit, Mizuho Financial Group (8411.T), Standard Chartered (STAN.L) and Deutsche Bank (DBKGn.DE) did not immediately respond. CONCERNS ABOUT DEBTThe Hindenburg report had sparked concern among investors about banks' exposures to the Adani group. Now, 39% of Adani's debt is currently in the form of bonds, 29% is from global banks and 32% comes from public or private banks in India, the Adani document added.

☆ Rahul Gandhi to appeal jail sentence
▼ + stars: | 2023-04-02 | by ( ) www.reuters.com time to read: +2 min

MUMBAI, April 2 (Reuters) - Indian opposition leader Rahul Gandhi will appeal a two-year jail sentence in a defamation case brought against him by lawmaker from Prime Minister Narendra Modi's Bharatiya Janata Party (BJP), local media reported on Sunday. A lower court sentenced Gandhi on March 23 for two years in jail on charges of defamation. The opposition critics accuse Modi government of giving undue favours to a business group led by billionaire tycoon Adani. Shares of Adani group companies plunged after Hindenburg Research on Jan. 24 alleged that the Indian company had engaged in stock manipulation and used tax havens. A day after Gandhi's conviction, 14 political parties jointly petitioned the Supreme Court, saying opposition groups were being selectively targeted by federal investigative agencies.

☆ Exclusive: India regulator probing some Adani offshore deals for possible rule violations-sources
▼ + stars: | 2023-04-01 | by ( Jayshree P Upadhyay | ) www.reuters.com time to read: +4 min

An Adani Group spokesperson said Vinod Adani is a member of the Adani family and is part of the promoter group, but he does not hold any managerial position in any of the listed Adani entities or their subsidiaries. Vinod Adani could not be reached for comment. Hindenburg's report eroded more than $100 billion in the value of shares in Adani group of companies. India's Supreme Court asked SEBI in March to investigate the Adani Group for any lapses related to public shareholding, related party rules or regulatory disclosures. SEBI's investigation into Adani's possible 'related party' transactions with offshore entities with links to Vinod Adani has not been reported before.

☆ After Adani’s Crisis, India’s Vedanta Looks Vulnerable Too
▼ + stars: | 2023-03-31 | by ( Megha Mandavia | ) www.wsj.com time to read: 1 min

Struggling Indian infrastructure heavyweight Adani Group hasn’t tipped over any other large dominoes yet. But another sprawling Indian conglomerate—miner Vedanta Resources—is looking wobbly. Market skittishness in the wake of the turmoil at Adani Group, which came under attack from short seller Hindenburg Research in late January, means that other indebted Indian companies—which otherwise might have muddled their way through the Federal Reserve hiking cycle—could increasingly find themselves under investors’ microscopes. A Vedanta Resources dollar bond due in May 2023 was yielding about 50% on Friday according to Refinitiv—about double the level at the end of January.

☆ Hindenburg says Block response confirms it inflated Cash App user counts
▼ + stars: | 2023-03-31 | by ( ) www.reuters.com time to read: +1 min

March 31 (Reuters) - U.S. short seller Hindenburg Research said on Friday Block Inc's (SQ.N) response to its allegations confirmed it had reported inflated user counts on its Cash App to investors for years. The payments firm led by Twitter co-founder Jack Dorsey said on Thursday that 44 million of its more than 51 million monthly active customers on Cash App were verified through its identity program as of Dec. 31. "Block's newly reported internal estimates also show that its previously reported 51 million monthly transacting actives as of December 2022 represented a 16%-31% inflation of its actual estimated internal user counts," Hindenburg said in a note published on its website. After taking a short position in Block, Hindenburg alleged in the report that the payments firm overstated its Cash App user numbers and understated its customer acquisition costs. Short sellers typically sell borrowed securities and aim to buy these back at a lower price.

☆ Block gave a 'robust' response to brutal short-seller report, and shares of the Cash App parent are looking at 40% upside, Bank of America says
▼ + stars: | 2023-03-31 | by ( Carla Mozée | ) www.businessinsider.com time to read: +3 min

Block gave a "robust" response to Hindenburg Research's report raising fraud concerns at the Cash App parent. The short-seller said its two-year investigation raised concerns about Block's reporting on monthly active accounts on Cash App and related compliance processes. "These metrics suggest that the short report's allegation that 40-75% of Cash App accounts are fake/fraudulent/duplicative is not credible." Hindenburg said Friday that Block's response "confirmed it has reported inflated user counts to investors for years." Downside risks to BofA's price objective include intensifying competition, macro conditions for small and medium-sized businesses, and a lack of diversification for Cash App revenue and gross profit streams.

☆ Electric truck maker Nikola is planning to sell its own shares at a 20% discount to their lowest ever price
▼ + stars: | 2023-03-31 | by ( Zinya Salfiti | ) www.businessinsider.com time to read: +2 min

Nikola is planning to raise $100 million by selling its stock at a huge discount. The electric truck manufacturer said Thursday that it would sell shares at $1.12, or 20% below their lowest ever price. The electric truck manufacturer said in a statement Thursday that it planned to raise the $100 million by selling 29.9 million shares to the public and another 59.4 million shares to an unnamed investor. It's pricing the shares at just $1.12 as part of the stock offering, a 20% discount to the all-time low of $1.40 they had fallen to by Thursday's closing bell. Nikola shares have cratered around 95% since Hindenburg released its first report into the company on September 10.

☆ Block says Cash App has 44 mln verified monthly users after Hindenburg report
▼ + stars: | 2023-03-30 | by ( ) www.reuters.com time to read: +2 min

March 30 (Reuters) - Block Inc (SQ.N) said on Thursday 44 million of its more 51 million monthly active customers on Cash App were verified through its identity program as of Dec. 31. The payments firm also estimated that the verified accounts constituted roughly 97% of Cash App inflows. After taking a short position in Block, the report alleged that the payments firm led by Twitter co-founder Jack Dorsey overstated its Cash App user numbers and understated its customer acquisition costs. Block has denied the allegations, saying it would explore legal action against the short seller for its "factually inaccurate and misleading report" that was "designed to deceive and confuse investors". Reporting by Manya Saini in Bengaluru; Editing by Pooja Desai and Arun KoyyurOur Standards: The Thomson Reuters Trust Principles.

☆ It's becoming increasingly clear that fintech has a fraud problem
▼ + stars: | 2023-03-29 | by ( Bianca Chan | Paige Hagy | ) www.businessinsider.com time to read: +8 min

"With fast growth comes fast fraud," Frank McKenna, a longtime fraud expert who works with banks, lenders, and fintechs, told Insider. Cash App only requires a zip code, debit-card number, and either an email or phone number to create an account. Cash App's alleged fraud problem could also be the result of its large, active customer base, which numbers some 44 million, according to the company's 2022 annual report. The fact that Cash App offers peer-to-peer payments exacerbates the fraud issue, according to McKenna, the chief fraud strategist at Point Predictive, an anti-fraud software company. Digital-only bank Chime has had its own issues with fraud, Jason Mikula, a fintech analyst and consultant, told Insider.

☆ Fitch says contagion risks loom over two Adani entities
▼ + stars: | 2023-03-29 | by ( ) www.reuters.com time to read: +1 min

March 29 (Reuters) - Ratings agency Fitch said two Adani Group subsidiaries are exposed to "heightened contagion risks", possibly affecting their financial flexibility, due to governance weakness at the parent conglomerate and other Adani group companies. Fitch said that Adani Transmission Ltd (ADAI.NS) and Adani Ports and Special Economic Zone (APSE.NS) are prone to risks, according to a note released late on Tuesday. Fitch early last month said it had seen no immediate impact on its ratings of Adani Group entities and their securities following short-seller Hindenburg Research's Jan. 24 report on the conglomerate. Fitch still said "cash flow generation from January 2023 to March 2024 will boost the liquidity of the rated groups." Reporting by Juby Babu in Bengaluru and Praveen Paramasivam in Chennai; Editing by Sonia Cheema, Nivedita BhattacharjeeOur Standards: The Thomson Reuters Trust Principles.

☆ India's disqualified Gandhi says he will not stop asking Modi questions
▼ + stars: | 2023-03-25 | by ( ) www.reuters.com time to read: +3 min

NEW DELHI, March 25 (Reuters) - Indian opposition leader Rahul Gandhi said on Saturday he had been disqualified from parliament because he has been asking the prime minister tough questions about his relationship with Gautam Adani, founder of the embattled Adani conglomerate. Gandhi, who represented India’s main opposition Congress party in parliament, lost his seat on Friday, a day after a court in the western state of Gujarat convicted him in a defamation case and sentenced him to two years in jail. The defamation case was filed in connection with comments Gandhi made in a speech that many deemed insulting to Prime Minister Narendra Modi. India's next general election is due by mid-2024 and Gandhi has recently been trying to revive the fortunes of his party. Modi’s enormous popularity remains intact despite the accusations of undue favours to the Adani group, approval ratings have shown.

☆ Here are Friday's biggest analyst calls: Nvidia, Tesla, Wendy's, Microsoft, Coinbase, Netflix & more
▼ + stars: | 2023-03-24 | by ( Michael Bloom | ) www.cnbc.com time to read: +5 min

Here are Friday's biggest calls on Wall Street: UBS reiterates Tesla as buy UBS said it's recent survey checks show Tesla is "best positioned" to win the EV race. Wells Fargo reiterates Microsoft as a top AI pick Wells said Microsoft is one of the biggest beneficiaries of AI. Jefferies downgrades UBS to hold from buy Jefferies said it sees too much uncertainty after the banking giant's acquisition of Credit Suisse. Jefferies upgrades Regeneron to buy from hold Jefferies said it's bullish on several of the pharmaceutical company's products. Citi reiterates Nvidia as buy Citi said Nvidia is a top beneficiary of AI.

☆ Morning Bid: Bank angst persists, unnerves Europe
▼ + stars: | 2023-03-24 | by ( ) www.reuters.com time to read: +5 min

But banks boosted borrowing under the Fed's newly launched Bank Term Funding Program to $53.7 billion - almost 5 times its first outing the previous week. European bank stocks fell 3% early on Friday, with Deutsche Bank shares (DBKGn.DE) down for a third day - losing 5% amid rising market costs for insuring against the risk of default. European Central Bank President Christine Lagarde is due to attend Friday's European Union summit in Brussels and update leaders on the state of affairs in the financial system. Wider markets were lower in Asia and Europe and U.S. stock futures were in the red again ahead of the open. With less than a 50% chance of another Fed rate rise in this cycle now priced into the futures, almost 80 basis points of rate cuts are now seen by year-end.

☆ Exclusive: India's LIC plans investment exposure caps post Adani share rout
▼ + stars: | 2023-03-24 | by ( Nikunj Ohri | ) www.reuters.com time to read: +3 min

After the Adani group lost over $100 billion in valuation post scathing allegations by U.S.-based Hindenburg Research, state-run LIC was criticized for having over $4 billion exposure to companies from the group. "LIC is looking to have 'boundary conditions' on its investments that would limit its exposure to scrips," said the source. The caps, once approved by the LIC board, would further limit the insurer's exposure. The move is aimed at strengthening investment strategies, and fence LIC from public criticism of its investment decisions or exposure to entities like the Adani group, the second source said. LIC had invested 301.2 billion rupees in shares of Adani group companies, and has a debt exposure of 61.82 billion rupees.

☆ Payments firm Block's Australian shares slump after Hindenburg report
▼ + stars: | 2023-03-24 | by ( Navya Mittal | ) www.reuters.com time to read: +2 min

March 24 (Reuters) - Australia-listed shares of Block Inc , led by Twitter co-founder Jack Dorsey, plunged 16.3% on Friday after Hindenburg Research alleged that the payments firm overstated its user numbers and understated its customer acquisition costs. Block, which is currently exploring a legal action against the short-seller, said the report was "factually inaccurate and misleading". Shares of the San Francisco-headquartered company led losses in Australia's benchmark ASX 200 Index (.AXJO) and hit their lowest since January 2023 at A$91.28. Block's $29 billion buyout of the Australian buy-now-pay-later firm Afterpay "was designed in a way that avoided responsible lending rules in its native Australia," the U.S. short-seller said in its report. ASX-listed Block shares plunge post Hindenburg's reportReporting by Navya Mittal in Bengaluru; Editing by Devika Syamnath and Sherry Jacob-PhillipsOur Standards: The Thomson Reuters Trust Principles.

☆ Cramer says it's really easy to hate short sellers, particularly if you own Block
▼ + stars: | 2023-03-24 | by ( Jim Cramer | ) www.cnbc.com time to read: 1 min

Share Share Article via Facebook Share Article via Twitter Share Article via LinkedIn Share Article via EmailCramer says it's really easy to hate short sellers, particularly if you own BlockMad Money host Jim Cramer weighs in on short seller Hindenburg Research's recommendation that investors sell Block shares.

☆ Things are pretty grim in real estate, but that could be a good thing for proptech startups in the long run
▼ + stars: | 2023-03-24 | by ( Dan Defrancesco | ) www.businessinsider.com time to read: +5 min

Today, we've got stories on Deutsche Bank's tumbling shares, some bad news for Block, and why Gen Z might be in trouble. Of the many casualties of 2022, startups focusing on the real-estate market were some of the biggest. As the real-estate market dried up, thanks to rising interest rates, these companies that were meant to upend the industry through tech and innovation suddenly took a backseat. And while current conditions aren't ideal for proptech startups, that could actually benefit them in the long run. Click here to check out 26 of the hottest proptech startups set to take off in 2023.

☆ Block shares extend losses as Hindenburg report weighs
▼ + stars: | 2023-03-24 | by ( ) www.reuters.com time to read: +2 min

[1/2] The logo of Cash App is seen at the main hall during the Bitcoin Conference 2022 in Miami Beach, Florida, U.S. April 6, 2022. REUTERS/Marco Bello/File PhotoMarch 24 (Reuters) - Shares of Twitter co-founder Jack Dorsey's Block Inc (SQ.N) fell 4% in premarket trading on Friday, a day after the payments firm's Cash App business became the latest target of U.S. short seller Hindenburg Research. In a report, Hindenburg has alleged that Block overstated its user numbers and understated its customer acquisition costs. Block shares closed 15% lower on Thursday, giving up all the gains made so far this year. The report cited a non-profit organization to say that Cash App was also "by far" the top app used in reported U.S. sex trafficking.

☆ Premarket stocks: Americans are going all-in on cash. That could spell more trouble
▼ + stars: | 2023-03-24 | by ( Nicole Goodkind | ) edition.cnn.com time to read: +7 min

The goal of a money market fund is to provide investors with a relatively stable investment option that offers higher returns than traditional savings. What’s happening: Since the Fed began to raise interest rates a year ago, the amount of money in money market funds has increased by roughly $400 billion. Goldman Sachs economists wrote in a note on Thursday that Americans could sell as much as $1.1 trillion in stocks this year and put that money into credit and money market assets instead. Money market funds are deeply interconnected with the wider financial system, and often face the same risks as banks. The Federal Deposit Insurance Corporation, a US government agency that insures deposits in banks and savings associations, does not insure cash invested in money market funds.

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