Adani flagship erases all stock losses spurred by Hindenburg

Shares of Adani Enterprises Ltd., the flagship of Indian billionaire Gautam Adani’s group, have erased all the losses inflicted by a scathing short-seller report in early 2023, after the conglomerate cut debt and landed major projects.

The stock crawled back losses of more than $30 billion that came after US-based Hindenburg Research alleged wide-ranging corporate malfeasance and share-price manipulation at the ports-to-power conglomerate in January 2023. The group has repeatedly denied those allegations.

The flagship’s stock rose 1.7% to 3,445.05 in Mumbai on Friday and has now almost tripled since its nadir in February 2023. The latest upswing comes as some analysts expect Adani Enterprises’ stock to be included in the benchmark S&P BSE Sensex Index in June, potentially bringing passive flows.  

Other Adani companies are engaging with global investors to raise fresh debt as the group pushes ahead with plans to expand its cement and copper businesses. Besides Adani Enterprises, at least five of the 10 listed Adani group stocks are trading above the levels seen before the Hindenburg report.