Reports of its foreign investors' accounts being frozen 'blatantly erroneous': Adani group
New Delhi, June 14: Billionaire Gautam Adani's group on Monday said it has written confirmation that accounts of three foreign funds that are among its top shareholders are not frozen and reports to the contrary are "blatantly erroneous and misleading".
Shares of Adani group companies plunged on Monday after reports that the National Securities Depository Ltd (NSDL) froze the accounts of the three foreign funds that are among the top stakeholders in the firms.
Adani Enterprises, the conglomerate's flagship company, as also Adani Ports and Special Economic Zone, Adani Green Energy Ltd, Adani Transmission Ltd, Adani Power and Adani Total Gas Ltd in identical filings to the stock exchanges said the reports of NSDL freezing accounts of Albula Investment Fund, Cresta Fund and APMS Investment Fund holding shares in the group firms were "blatantly erroneous and is done to deliberately mislead the investing community."
"This is causing irreparable loss of economic value to the investors at large and reputation of the group," they said.
Given the seriousness of the issue and its consequential adverse impact on minority investors, "we requested Registrar and Transfer Agent, with respect to the status of the Demat Account(s) of the aforesaid funds and have their written confirmation vide its e-mail dated 14th June, 2021, clarifying that the Demat Account(s) in which the aforesaid funds hold the shares of the company are not frozen," the firms said.
The NSDL website, however, showed the accounts of Albula Investment Fund, Cresta Fund and APMS Investment Fund as being frozen without citing a reason.
It listed Albula Investment Fund Ltd (PAN No. AAHCA3597Q), APMS Investment Fund Ltd (PAN No. AAECM5148A) and Cresta Fund Ltd (PAN No. AADCC2634A) as "account level freeze".
A source at the group, however, said the Registrar has in writing stated that the accounts that hold Adani group stocks have not been frozen.
The three funds feature among the top 12 investors and owned about 2.1 per cent to 8.91 per cent stakes in five Adani group companies as of March 31, 2020, annual investor presentations show. The value of their holding in the five Adani group firms was valued at USD 7.78 billion before the stocks witnessed mayhem on Monday.
Later in a statement, the ports-to-energy conglomerate said the FPIs (Foreign Portfolio Investors) in question have been investors in Adani Enterprises Ltd for more than a decade.
"Demergers (which led to creation of separate firms holding businesses such as power, renewable and city gas) have resulted in the ownership mirroring in the portfolio companies," it said.
"All our businesses were incubated by the Adani Enterprises Ltd, the flagship company, established in 1994, and during the last seven years Adani Ports, Adani Transmission, Adani Green Energy and Adani Gas Ltd were demerged and listed on Indian Exchanges," the statement said.
The port business is with Adani Ports & Special Economic Zones Ltd while renewable firm Adani Green Energy Ltd (AGEL) has contracted capacity of 25 GW and is ranked the largest solar power developer in the world. Adani Transmission Ltd operates the largest private transmission network in India of over 17,000 ckm and Adani Total Gas Ltd has license to retail city gas in 38 geographical areas.
"Adani Enterprises Limited, continues to nurture new businesses such as airports, roads, data centre, solar manufacturing and offers immense value to the investors when these entities get listed separately," the statement said.
The Adani Group portfolio continues to attract investors and strategic partners both at primary and secondary level.
"Adani portfolio continues its journey of exponential growth across all verticals thus ensuring immense value to its stakeholders. We urge all our stakeholders not to be perturbed by market speculations," it said.
Clarification on news article published in the Economic Times – A/cs of 3 FPIs Owning Adani Shares Frozen.https://t.co/IFiqd6xj9L
— Adani Group (@AdaniOnline) June 14, 2021
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India moving towards becoming global economic powerhouse: Kovind
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Amritsar (PTI): Former president Ram Nath Kovind on Friday said that with digital transformation, economic reforms and a strong focus on the ease of doing business, India is moving towards becoming a global economic powerhouse.
He was speaking after inaugurating the 19th edition of the Punjab International Trade Expo (PITEX) in Amritsar.
The former president said that this 19th edition of PITEX is being organised at a time when India is recognised as one of the fastest-growing large economies in the world.
Speaking at the inaugural ceremony of the event organised by the PHD Chamber of Commerce and Industry (PHDCCI) the former president, while referring to Punjab, said the state is a living example of courage, sacrifice and enterprise.
"The spiritual light of Sri Harmandir Sahib (Golden Temple) inspires peace and humanity across the world. The heritage of Punjab is deep and inspiring," Kovind said, according to a statement issued by the PITEX.
The former president congratulated the PHDCCI for hosting the 19th edition of PITEX and suggested that the chamber should expand PITEX outside Punjab.
He proposed that a similar event should also be held in New Delhi.
