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☆ Most Adani shares continue bloodbath as Asia's richest man loses $28 billion in a month
▼ + stars: | 2023-01-30 | by ( Jihye Lee | ) www.cnbc.com time to read: +2 min

Gautam Adani, chairperson of Indian conglomerate Adani Group, at the World Congress of Accountants in Mumbai on Nov. 19, 2022. Founder Gautam Adani, the richest man in Asia and once second only to Elon Musk, fell out of the world's top five richest to rank seventh on the Bloomberg's Billionaire Index. Despite small gains seen in Adani Enterprises, other affiliates of the Adani Group continued to plunge. Adani Total Gas and Adani Transmission both dropped by the daily 20% limit, Adani Green Energy fell more than 19%, and Adani Power lost 5%. India's Nifty 50 Index traded 0.6% lower on Monday and hovered at the lowest since mid-October 2022.

☆ Exclusive: India's LIC reviewing Adani response to short seller's allegation
▼ + stars: | 2023-01-30 | by ( Nikunj Ohri | ) www.reuters.com time to read: +2 min

[1/2] Life Insurance Corporation of India (LIC) logo is seen displayed in this illustration taken February 20, 2022. REUTERS/Dado Ruvic/Illustration/FilesNEW DELHI, Jan 30 (Reuters) - India's Life Insurance Corporation (LIC) (LIFI.NS) said on Monday it was reviewing the Adani Group's response to scathing criticism by a U.S. short-seller and would hold talks with the group's management within days. State-run LIC, the country's largest insurer, says it has invested 364.7 billion rupees ($4.47 billion) in Adani companies, about 1% of its assets under management. "Of course we are studying the 413-page reply given by Adani Group," Kumar said. ($1 = 81.6120 Indian rupees)Reporting by Nikunj Ohri Editing by David Goodman and Raju GopalakrishnanOur Standards: The Thomson Reuters Trust Principles.

☆ Morning Bid: Breathe in
▼ + stars: | 2023-01-30 | by ( ) www.reuters.com time to read: +2 min

A look at the day ahead in European and global markets from Tom WestbrookMarkets are holding their breath for a week where central banks may start to take divergent paths. read moreWall Street's "fear index" - the VIX volatility index - on Friday fell below 18.0 for the first time in over a year, and perhaps a little under the radar, U.S. bond market volatility is now its lowest since last June. In Asia, markets slipped slightly, U.S. futures fell 0.4% and currency trade was eerily calm. The Nikkei newspaper reported Renault (RENA.PA) was to lower its share holding in Nissan (7201.T) to 15%, while the latter would invest in Renault's EV business. Things have not gone well for investors in other firms Hindenburg has targeted.

☆ Abu Dhabi's IHC plans to invest $381 mln in Adani Enterprises
▼ + stars: | 2023-01-30 | by ( ) www.reuters.com time to read: +2 min

DUBAI, Jan 30 (Reuters) - Abu Dhabi conglomerate International Holding Company (IHC.AD) on Monday said it would invest 1.4 billion dirhams ($381.17 million) in Adani Enterprises' (ADEL.NS) follow-on public offer. "Our interest in Adani Group is driven by our confidence and belief in the fundamentals of Adani Enterprises Ltd; we see a strong potential for growth from a long-term perspective and added value to our shareholders," IHC CEO Syed Basar Shueb said in a statement. IHC, Abu Dhabi's largest listed company, invested $2 billion in Adani Group companies last year, including Adani Enterprises. Adani Group has hit back at the report by Hindenburg Research published last week that flagged concerns about Adani Group's debt levels and the use of tax havens. Investors' response to Hindenburg's criticisms will be tested this week by Adani Enterprises' $2.5 billion follow-on share offering which closes on Tuesday.

☆ Indian shares set to rise after a rout set off by Adani stocks
▼ + stars: | 2023-01-30 | by ( ) www.reuters.com time to read: +2 min

Besides the Fed's policy meeting, investors await rate decisions from other global central banks such as the European Central Bank and the Bank of England, later this week. STOCKS TO WATCH** Bajaj Finance (BJFN.NS): Co posts bigger-than-expected rise in consolidated net profit in third quarter, aided by a fall in provisions for bad loans. read more** Vedanta (VDAN.NS): Co reports slide in consolidated net profit in Q3, dragged by soft metal prices. read more** Tata Elxsi : Co reports arise in consolidated net profit in third quarter. ($1 = 81.5100 Indian rupees)Reporting by Bharath Rajeswaran in Bengaluru; Editing by Dhanya Ann ThoppilOur Standards: The Thomson Reuters Trust Principles.

☆ Growth trajectory of Adani Group's underlying businesses not affected - CFO
▼ + stars: | 2023-01-30 | by ( ) www.reuters.com time to read: 1 min

NEW DELHI, Jan 30 (Reuters) - The growth trajectory of the underlying businesses of Adani Group has not been affected by the Hindenburg Research report that sparked a $48 billion rout in its stocks, Chief Financial Officer Jugeshinder Singh said on Monday. Speaking to local media, Singh said retail subscription would see "some pull back" in a $2.5 billion secondary share sale of the group's flagship company, Adani Enterprises (ADEL.NS). Reporting by Sudipto Ganguly; Editing by Krishna N. DasOur Standards: The Thomson Reuters Trust Principles.

☆ Why a tiny American firm is taking aim at an Indian conglomerate
▼ + stars: | 2023-01-30 | by ( Allison Morrow | ) edition.cnn.com time to read: +6 min

New York CNN —Asia’s richest man is in the crosshairs of a research firm whose very name evokes panic. Gautam Adani is a 60-year-old tycoon who founded the Adani Group over 30 years ago, building it into India’s largest port operator, with businesses spanning infrastructure and energy production. Hindenburg said Adani Group shares are massively overvalued, and it has taken a short position (more on that in a minute) on them, meaning Hindenburg wins when Adani shares fall. What is Hindenburg Research? Hindenburg is a short-seller that specializes in forensic financial research, founded in 2017 by Nathan Anderson.

HONG KONG/MUMBAI, Jan 30 (Reuters Breakingviews) - Gautam Adani’s financing options are narrowing fast. That leaves it dependent on a safety net provided by Indian banks. Those concerns exploded after Hindenburg Research last week declared the Indian group was making extensive use of tax havens and “pulling the largest con in corporate history” – allegations Adani dismissed as “misinformation” and “stale, baseless and discredited”. Lending more to the group would protect the capital that banks already have at risk in projects under construction. Shares of Gautam Adani’s listed companies have lost a combined $48 billion in market capitalisation since Jan. 25.

☆ Adani Group slams US short seller Hindenburg over fraud allegations
▼ + stars: | 2023-01-30 | by ( Diksha Madhok | ) edition.cnn.com time to read: +4 min

Since the release of Hindenburg’s report, Adani’s business empire has lost more than $70 billion of its stock market value. Fast expansionThe 60-year-old tycoon founded the Adani Group over 30 years ago, and is seen as a close ally of India’s current prime minister, Narendra Modi. In its response, the Adani Group portrayed the US short seller’s report as an “attack” on India and its investors. Hidenburg had concluded its report last week with 88 questions for the Adani Group. Adani Enterprises is aiming to raise 200 billion rupees ($2.5 billion) by issuing new shares this month.

☆ Adani's $2.5 billion share sale faces crucial day after Indian rout
▼ + stars: | 2023-01-29 | by ( ) www.reuters.com time to read: +3 min

Adani Group has called the report baseless and said it was considering taking action against Hindenburg. 'FREE FALL'Some Adani Group stocks have surged more than 1,500% in the last three years amid aggressive expansion in businesses that include ports, power generation, airports and mining. Adani Enterprises has set a floor price of 3,112 rupees per share and a cap of 3,276 rupees for the secondary share sale - well above their close of 2,761.45 rupees on Friday. Arun Kejriwal, founder of Kejriwal Research & Investment, said investors were likely to wait until the last day of the share sale to see if the price band is tweaked. There are at least six Adani Group companies in the MSCI India Index, with a cumulative weight of 4.31%.

☆ Adani's $2.5 billion share sale faces crucial day after rout
▼ + stars: | 2023-01-29 | by ( ) www.reuters.com time to read: +3 min

Asked for comment, an Adani Group spokesperson said in an email that the share sale was going "as per schedule", without elaborating. The Adani Group has called the report baseless and said it was considering taking action against Hindenburg. Friday's 20% fall in shares of group flagship Adani Enterprises dragged it 11% below the minimum offer price of the secondary sale. Adani had set a floor price of 3,112 rupees ($38.22) a share and a cap of 3,276 rupees, but Adani Enterprises closed on Friday 2,761.45 rupees. A fourth source said Adani management is also discussing the share sale internally to decide on next steps.

[1/2] The logo of the Adani Group is seen on the facade of its Corporate House on the outskirts of Ahmedabad, India, January 27, 2023. Adani Group in a statement said: "There is no change in either the schedule or the issue price." The Adani Group has called the report baseless and said it was considering taking action against Hindenburg. Friday's 20% fall in shares of group flagship Adani Enterprises dragged it 11% below the minimum offer price of the secondary sale. The Hindenburg report questioned how the Adani Group used entities in offshore tax havens such as Mauritius and the Caribbean islands.

The stunning market selloff has cast a shadow over Adani Enterprises' secondary share sale that started on Friday. The share sale is being managed by Jefferies, India's SBI Capital Markets, Axis Capital, and ICICI Securities among others. Shares of other listed Adani firms also plummeted, with Adani Transmission Ltd (ADAI.NS), Adani Total Gas (ADAG.NS), Adani Green Energy (ADNA.NS) and Adani Ports (APSE.NS) sinking 20% each. Adani Ports, Adani Green Energy and Adani Transmission marked their worst intraday drop ever, with heavy volumes. Billionaire U.S. investor Bill Ackman said on Thursday that he found the Hindenburg report "highly credible and extremely well researched."

Adani Group has dismissed the report as baseless and said it is considering whether to take legal action against the New York-based firm. "There were heavy positions in Adani group (shares), the way they have risen in the last couple of years," said Neeraj Dewan, director at Quantum Securities in New Delhi. Shares of other listed Adani firms also plummetted, with Adani Transmission Ltd (ADAI.NS) Adani Total Gas (ADAG.NS), Adani Green Energy (ADNA.NS) and Adani Ports (APSE.NS) sinking 20% each. Adani Enterprises' net profit for the period ended Sept. 30, 2022 doubled to 9 billion Indian rupees ($110.31 million) while its total income nearly tripled to 795 billion Indian rupees, according to its share sale prospectus. The company's total liabilities as of September 2022 stood at 869 billion rupees ($10.64 billion), the prospectus showed.

☆ India banks' exposure to Adani Group is limited - CLSA, Jefferies
▼ + stars: | 2023-01-27 | by ( ) www.reuters.com time to read: +2 min

MUMBAI, Jan 27 (Reuters) - Indian banks' exposure to the Adani Group is within manageable limits, said brokerage houses CLSA and Jefferies, as the group fend off an attack from well-known short-seller Hindenburg Research. For public sector banks (PSU), the debt is at 0.7% of total loans and for private banks, it is at 0.3%. Indian banks have exposure to less than 40% of total group debt, the brokerage estimates. "Within this, private banks' exposure is below 10% of total group debt and most banks have indicated that they have largely financed assets with strong cash flows, such as airports/ports," CLSA said. While PSU banks have material exposure at 30% of group debt, this level has not increased in the past three years, CLSA said.

☆ India's Adani kicks off $2.45 bln share sale while under short-seller attack
▼ + stars: | 2023-01-27 | by ( ) www.reuters.com time to read: +2 min

Adani Group firms lost $11 billion in market capitalisation on Wednesday after New York-based Hindenburg Research flagged concerns in a report about debt levels and the use of tax havens. Adani Group dismissed the report as baseless. Adani Enterprises, the flagship company of a conglomerate led by world's fourth-richest man, Gautam Adani, aims to use the share sale proceeds for capital expenditure and to pay debt. Adani Group has repeatedly faced and dismissed concern about debt levels. The share sale "should sail through successfully."

Adani, whose home state is Gujarat in western India, built his business empire from scratch after starting as a commodities trader. Adani's business empire grew rapidly and his wealth ballooned. In recent years, the $220 billion Adani Group empire has attracted foreign investment - France's TotalEnergies (TTEF.PA), for example, partnered with Adani last year to develop the world's biggest green hydrogen ecosystem. It is not known what was discussed and Adani Group did not respond to a request for comment on Friday. Adani Group's consolidated gross debt stands at $23.34 billion, Jefferies says.

☆ Adani Group sheds $50 billion in market value as the world's richest Asian weathers accusations of 'stock manipulation'
▼ + stars: | 2023-01-27 | by ( Zahra Tayeb | ) www.businessinsider.com time to read: +2 min

Adani Group – owned by Asia's richest man – has lost over $50 billion in market value in less than two days, per Bloomberg. The plunge follows a Hindenburg Research report this week accusing the Indian conglomerate of market manipulation. Shares in Adani Enterprises tumbled more than 19% Friday as the rout intensifies. At the time of writing, Adani Enterprises' stock was down about 15% to 2,848 rupees ($34.93). Meanwhile, Billionaire investor Bill Ackman voiced his support for Hindenburg Research's report, saying on Twitter Thursday that "I found the Hindenburg report highly credible and extremely well researched."

☆ Adani Group stocks add to losses from short-seller attack
▼ + stars: | 2023-01-27 | by ( ) www.reuters.com time to read: +1 min

BENGALURU, Jan 27 (Reuters) - Shares of Adani Group's listed companies fell on Friday, adding to their losses from Wednesday when U.S. short-seller Hindenburg Research launched a scathing attack on the conglomerate. Adani Transmission Ltd (ADAI.NS) tumbled 19.2% and Adani Total Gas (ADAG.NS) sank 19.1% in their biggest daily drop since mid-March 2020, while Adani Green Energy (ADNA.NS) sank 15.8%. Shares in seven listed group companies of Adani lost $10.73 billion in market capitalisation in India on Wednesday after Hindenburg said it held short positions in Adani Group and flagged concerns about debt levels and the use of tax havens. Adani Group dismissed the report as baseless. Meanwhile, billionaire U.S. investor Bill Ackman lent credence to the Hindenburg report, saying that he found it "highly credible and extremely well researched."

☆ Adani shares plunge further as it weighs legal action against short seller firm
▼ + stars: | 2023-01-27 | by ( Jihye Lee | ) www.cnbc.com time to read: +3 min

Hindustan Times | Hindustan Times | Getty ImagesShares of Adani Group companies continued to see sharp losses for a second consecutive trading session in India, after short seller firm Hindenburg announced its short position in the conglomerate's firms earlier this week. Adani Transmission fell 19.47%, Adani Green Energy shed 19.89% and Adani Power lost 5%. Adani Port's share price also dropped 13.8%. Billionaire investor and CEO of Pershing Square Capital Management, Bill Ackman, voiced his support for the short seller firm in a tweet posted shortly before India's market open. "I found the Hindenburg report highly credible and extremely well researched," he wrote, adding that Adani Group's response "speaks volumes."

☆ Instant view: India's Adani slammed by $48 bln stock rout, clouding record share sale
▼ + stars: | 2023-01-27 | by ( ) www.reuters.com time to read: +2 min

COMMENTARYJ.P.MORGAN"While the Hindenburg report focused mainly on equity valuations within the group, we are primarily concerned about the underlying credit profiles of group companies given underlying bank exposures. Clearly given the size of the group and outstanding debt, this has also impacted the banks." So if a report comes and stocks see a sharp fall, lot of margin calls also get triggered. At least 40% of the group's debt is exposed to Indian banks, so that exposure is what people are worried about in banks. Reporting by Rama Venkat and Bharath Rajeswaran in Bengaluru; Editing by Savio D'SouzaOur Standards: The Thomson Reuters Trust Principles.

☆ Gautam Adani’s business loses $50 billion in market value after short seller report
▼ + stars: | 2023-01-27 | by ( Diksha Madhok | ) edition.cnn.com time to read: +3 min

New Delhi CNN —The value of Gautam Adani’s business empire has crashed by more than $50 billion this week since Hindenburg Research, a US firm that makes money from short selling, published a blistering report accusing it of fraud. India’s Adani Group has denounced Hindenburg’s allegations as “baseless” and “malicious,” and it is considering legal action. But the sharp sell-off in shares, which began Wednesday, accelerated Friday after US hedge fund billionaire Bill Ackman said he found the short seller’s report credible. Adani Enterprises is aiming to raise 200 billion rupees ($2.5 billion) by issuing new shares this month. The 60-year old tycoon founded the Adani group over 30 years ago.

☆ Morning Bid: Chipped
▼ + stars: | 2023-01-27 | by ( ) www.reuters.com time to read: +5 min

A surge of 'soft landing' hopes for the U.S. economy on Thursday got sideswiped overnight after a dire industry readout from chipmaking giant Intel decimated its stock price after the bell. "We expect some of the largest inventory corrections literally that we've ever seen in the industry," he told Reuters later. Annual 'core' PCE inflation is expected to have slowed to 4.4% last month, the lowest in more than a year, from 4.7% in November. U.S. bonds of Adani firms also fell after Hindenburg Research flagged concerns in a Jan. 24 report about debt levels and the use of tax havens. They do not reflect the views of Reuters News, which, under the Trust Principles, is committed to integrity, independence, and freedom from bias.

☆ Asia's richest person doubles down on defence against fraud allegations ahead of a massive share sale
▼ + stars: | 2023-01-27 | by ( Huileng Tan | ) www.businessinsider.com time to read: +4 min

It aimed to address some of Hindenburg's allegations of market manipulation and accounting fraud. Shares of listed Adani Group companies are extending steep declines on Friday, following the report. The allegations in Hindenburg's bombshell Tuesday report could not have come at a more inopportune moment for Adani group. A secondary share sale of Adani Enterprises — the flagship business of the Adani business empire founded by Asia's richest person, Gautam Adani, is currently underway. Shares of Adani Group companies are taking a beatingOn Friday, shares of Adani Enterprises were 15.4% lower at 3.42 a.m.

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