Adani Group Upholds Governance and Disclosure Standards after Court Panel Findings
Key Takeaways:
India’s Adani Group remains confident in its governance and disclosure standards following a recent court panel investigation.
Background:
Adani Group, a conglomerate based in India, faced scrutiny after a scathing report from a U.S. short-seller in January. The report alleged improper use of tax havens and raised concerns about the group’s debt levels.
Court Panel Findings:
A court panel report confirmed the group’s high-quality disclosures and found no breaches. Adani Chairman Gautam Adani expressed confidence in the group’s governance and disclosure standards during a shareholder address at Adani Enterprises’ annual general meeting.
SEBI Investigation:
While the Securities and Exchange Board of India (SEBI) is yet to submit its report, Adani remains optimistic about the outcome, given the positive findings of the court panel.
Market Reaction:
Shares of Adani Group companies experienced a significant decline of around $100 billion following the release of the short-seller’s report. However, with investor support and debt repayments, Adani Enterprises shares have seen a 4% increase on Tuesday.