Adani Group stocks continue to fall; Adani Total Gas, Adani Transmission, Adani Green tank 20 pc
New Delhi, Jan 27: Adani group stocks took a beating for a second straight session on Friday, falling up to 20 per cent and losing over Rs 4.17 lakh crore from the combined market valuation of listed firms after the US-based investment research firm Hindenburg Research made damaging allegations.
Shares of Adani Total Gas plummeted 20 per cent, Adani Transmission tumbled 19.99 per cent, Adani Green Energy plunged 19.99 per cent and Adani Enterprises tanked 18.52 per cent on the BSE.
Also, Adani Ports and Special Economic Zone fell 16.03 per cent, Adani Wilmar dipped 5 per cent and Adani Power declined 5 per cent.
Ambuja Cements tanked 17.16 per cent and ACC fell 13.04 per cent.
In the broader market, the 30-share BSE benchmark tumbled 874.16 points or 1.45 per cent to settle at 59,330.90.
In two days, the Adani group firms have lost a whopping Rs 4,17,824.79 crore from their market valuation.
The market valuation of Adani Total Gas plummeted Rs 1,04,580.93 crore, while that of Adani Transmission eroded by Rs 83,265.95 crore.
Adani Enterprises market capitalisation (mcap) fell by Rs 77,588.47 crore, Adani Green Energy lost Rs 67,962.91 crore and Adani Ports (Rs 35,048.25 crore).
The market valuation of Ambuja Cements declined by Rs 23,311.47 crore, Adani Power by Rs 10,317.31 crore, ACC by Rs 8,490.8 crore and Adani Wilmar by Rs 7,258.7 crore.
The sharp slump in the Indian market was triggered by an unfavourable research report on Adani group companies. This is also affecting the banking stocks, especially PSU banks due to their high exposure to the group, Vinod Nair, Head of Research at Geojit Financial Services, said.
According to him, FIIs' cautious stance ahead of the Union Budget and FOMC (Federal Open Market Committee) meetings also fuelled the collapse.
"The maliciously mischievous, unresearched report published by Hindenburg Research on January 24, 2023, has adversely affected the Adani Group, our shareholders and investors. The volatility in Indian stock markets created by the report is of great concern and has led to unwanted anguish for Indian citizens," Adani Group's lead head Jatin Jalundhwala said in a statement.
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, he 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," he said.
"We are evaluating the relevant provisions under US and Indian laws for remedial and punitive action against Hindenburg Research."
Hindenburg, a US-based investment research firm that specialises in activist short-selling, said on Wednesday that its two-year investigation revealed that Adani Group has "engaged in a brazen stock manipulation and accounting fraud scheme over the course of decades".
"Indian benchmark equity gauges hit their over three-month lows on Friday, dragged by massive selling mainly in Adani group and banking stocks. Adani shares were in the line of fire following the Hindenburg report accusing the group of serious irregularities," said Devarsh Vakil, Deputy Head of Retail Research, HDFC Securities.
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CM Siddaramaiah ready to "sacrifice power" or continue, as per Rahul's directions: Rajanna
Bengaluru (PTI): As the speculation about leadership change in Karnataka rages yet again, a senior party leader and close aide of Siddaramaiah on Tuesday said the Chief Minister was ready to "sacrifice power" or continue in the top post, based on the directions of Congress leader Rahul Gandhi.
KN Rajanna also seemed to support the idea of a change in the party leadership as well, an apparent reference to deputy CM and Karnataka Congress president D K Shivakumar, whose supporters want him to be made CM.
Urging the Congress high command to clear the confusion on the leadership issue, Rajanna, a former minister who is considered close to Siddaramaiah, warned that continued uncertainty would be detrimental for the party and governance.
He also insisted that if the chief minister is changed, there should be a "Dalit CM" in Karnataka.
The development comes amid speculations within the party and political circles about a possible decision on leadership change and cabinet reshuffle after May 4, once the results for assembly elections in four states and one union territory, along with bypolls to two assembly segments in Karnataka, are announced.
"The Chief Minister has an open mind and has said he will abide by the directions of the high command and Rahul Gandhi, and that everyone should cooperate. The CM has repeatedly reiterated that he will abide by Rahul Gandhi's directives and suggested that everyone follow the decision. All ministers have agreed to it," Rajanna said in response to a question about the CM's recent discussion with his close cabinet colleagues and MLAs.
Speaking to reporters here, he said, "power is not permanent for any politician, those who lose it will try to gain it and those who have gained it will try to maintain it. The CM's mindset is that he is ready to sacrifice power or continue in power as per Rahul Gandhi's directions. He will abide by Rahul Gandhi's decision."
When asked whether supporters of Siddaramaiah demanded that he continue as CM, and if he steps down, that an AHINDA leader should take over, the MLA said the matter is for the high command to decide.
"We have told the high command what we had to. Ultimately it is left to high command and Rahul Gandhi," he said.
AHINDA (Kannada acronym for minorities, backward classes, and Dalits) is considered as the strong support base of Siddaramaiah and also the Congress party.
When asked about his past statement that there should be a Dalit CM after Siddaramaiah, Rajanna said, "What's wrong with it. I am committed to the statement that there should be a Dalit CM."
MLAs and leaders who want Shivakumar to be elevated have recently claimed they expect some "sweet news" by May 15, which is their leader's birthday.
When asked whether the party president should also be changed, the former minister said that everything has to change.
"If the ministers have to change, why shouldn't the party president. Everything will be decided by high command," he said.
Shivakumar is the state Congress President and has completed six years in the post.
For the government to function more actively towards the welfare of the people it is important that the high command clears the existing confusion in the Congress party at the earliest, Rajanna said, adding, the ministers have gone to discuss the same with the leadership.
"I too urge that the high command should not allow the confusion to continue; as long as the confusion continues, it is detrimental for the party and governance. I will also go to Delhi after May 4," he said.
"The high command is at it (resolving the confusion), but because of elections, the leaders are busy. The matter cannot be decided hastily, it must be decided with a clear state of mind, as it involves the future of the people of Karnataka and the party," he said, expressing confidence that the party will take appropriate decisions after examining all aspects.
PWD Minister Satish Jarkiholi on Monday met Congress President Mallikarjun Kharge and General Secretary (in charge of Karnataka) Randeep Surjewala in New Delhi and requested them to address the speculation regarding the change of leadership in the state.
Subsequently Social Welfare Minister H C Mahadevappa too met the party leadership in Delhi.
Both Jarkiholi and Mahadevappa are considered close to Siddaramaiah.
Regarding the demand for cabinet reshuffle, Rajanna said there is an expectation within both the party and the public that the administration should be sensitised more, and there is nothing wrong in new people getting opportunities.
Responding to a question, Rajanna said, there is a feeling among AHINDA communities that their expectations from the current government have not been fulfilled. "I too agree with it," he said.
Rajanna, who recently alleged that the Chief Minister is "helpless" and under some "compulsion," reiterated his statement by saying, "compare Siddaramaiah as CM during 2013-18 and 2023 to now, there is a huge difference, people are saying it."
The leadership issue is being hotly debated as Shivakumar's supporters have been demanding his elevation since late 2025, in lines with a rumoured power-sharing agreement involving Siddaramaiah when the party won the 2023 Assembly elections.
