Adani Group shares took a $2.4 billion hit on Monday following fresh allegations from Hindenburg Research, which accused the head of India’s Securities and Exchange Board (SEBI), Madhabi Puri Buch, of having connections to offshore funds linked to the conglomerate.
While Adani stocks recovered from earlier losses of over $13 billion, the company’s market value still dropped by 1% by the end of the trading day.
This marks the latest chapter in an ongoing battle between Hindenburg and Adani that began 18 months ago when the U.S. short-seller accused the Indian giant of misusing tax havens. Adani Group has denied the claims, calling them baseless, while Buch dismissed them as “character assassination.” Despite the denials, investor confidence remains shaky, with most Adani companies closing lower, except for Adani Green, which gained 1%.
The ongoing turmoil comes as Adani prepares for a $1 billion share sale, a crucial move after shelving a larger offering last year.
