ANI
26 Jan 2023, 12:57 GMT+10
New Delhi [India], January 26 (ANI): Adani Group on Thursday said it is mulling legal options in the US and India against Hindenburg Research after its report accused firms owned by Gautam Adani of "brazen" market manipulation and accounting fraud.
Jatin Jalundhwala, Group Head - Legal, Adani Group, said, "The maliciously mischievous, unresearched report published by Hindenburg Research on 24 January 2023 has adversely affected the Adani Group, our shareholders and investors."The legal head said, "We (the Group) are evaluating the relevant provisions under US and Indian laws for remedial and punitive action against Hindenburg Research.""The volatility in Indian stock markets created by the report is of great concern and has led to unwanted anguish for Indian citizens," the legal head said in a statement on Thursday.
Hindenburg, an US investment research firm published a report claiming that Adani group had links with a labyrinth of off shore tax havens linked to Gautam Adani's family and the firms exposure to high debt was a concern. The report also claimed that Adani group's stock price was inflated and had significant downside risks.
On the report affecting Adani shares, Jatin Jalundhwala said, "Clearly, the report and its unsubstantiated contents were designed to have a deleterious effect on the share values of Adani Group companies as Hindenburg Research, by their own admission, is positioned to benefit from a slide in Adani shares."Jalundhwala also mentioned Hindenburg which said that it had taken "short positions in Adani Group Companies through US-traded bonds and non-Indian-traded derivatives, along with other non-Indian-traded reference securities."The Adani group's legal head said, "We are deeply disturbed by this intentional and reckless attempt by a foreign entity to mislead the investor community and the general public, undermine the goodwill and reputation of the Adani Group and its leaders, and sabotage the FPO (Follow-on Public Offering) from Adani Enterprises."Jugeshinder Singh, the chief financial officer (CFO) of the Adani Group, on Wednesday said the conglomerate was "shocked" by the Hindenburg Research's report and termed it a "malicious combination of selective misinformation and stale, baseless and discredited allegations that have been tested and rejected by India's highest courts".
Reportedly, the research firm, in its report on Tuesday, raised concerns about shares of Adani group companies having a possibility of declining from their current levels, owing to high valuations.
"We are shocked that Hindenburg Research has published a report on January 24, 2023, without making any attempt to contact us or verify the factual matrix. The report is a malicious combination of selective misinformation and stale, baseless and discredited allegations that have been tested and rejected by India's highest courts," the CFO said in a statement.
The timing of the report by Hindenburg Research, the CFO, in his statement, said "clearly betrays a brazen, mala fide intention to undermine" the Adani Group's reputation with the "principal objective of damaging" the upcoming Follow-on Public Offering from Adani Enterprises, the biggest FPO ever in India. (ANI)Get a daily dose of Africa Leader news through our daily email, its complimentary and keeps you fully up to date with world and business news as well.
Publish news of your business, community or sports group, personnel appointments, major event and more by submitting a news release to Africa Leader.
More InformationZERMATT, Switzerland: Five skiers were found dead on a mountain in Switzerland near the popular ski resort of Zermatt, officials said...
TORONTO, Canada - Tens of thousands of people from across Canada have marched in support of Israel in a massive turnout in Toronto....
BOSTON, Massachusetts: U.S. President Donald Trump's administration has taken away Harvard University's right to enroll international...
WASHINGTON, DC - U.S. President Donald Trump on Monday said he believed God was behind his election loss in 2020, even though he has...
NEW YORK CITY, New York: Passenger numbers at Newark Liberty International Airport in New Jersey have dropped sharply, according to...
BRUSSELS, Belgium: European Union antitrust regulators are examining fees imposed by payment giants Visa and Mastercard, Bloomberg...
BEIJING, China: China's Lenovo reported a steep 64 percent drop in fourth-quarter profit, falling significantly short of analyst expectations...
NEW YORK, New York - Strong economic data jump-started U.S. stocks and the dollar Tuesday, a welcome reprieve after weeks of pressure...
NEW YORK CITY, New York: This week, the U.S. Federal Trade Commission (FTC) dropped its lawsuit against PepsiCo, which had accused...
WASHINGTON, D.C.: New single-family home sales in the U.S. rose sharply in April to their highest level in over three years as builders...
VEVEY, Switzerland: Nestle is realigning its focus on its core food and beverage operations after expanding into areas like health...
DEARBORN, Michigan: Ford Motor Company has filed a lawsuit against several California lawyers and law firms, accusing them of cheating...