The allegations of wrongdoing made by short seller Hindenburg Research have been thoroughly refuted by the company that is owned by Asia’s richest man, Gautam Adani. Adani Group describes the report as a “calculated attack on India” in a document that spans more than 400 pages.
In its report, Hindenburg said that, Adani failed to specifically answer 62 of our 88 questions. The Indian conglomerate Adani Group saw its stock market value drop by more than $50 billion (or £40.4 billion) last week. Additionally, it stated that it had made all required regulatory disclosures and complied with all local laws.
Adani Group stated in a 413-page document that it released late on Sunday that all transactions entered into by us with entities that qualify under Indian laws and accounting standards have been duly disclosed by us. Without citing any evidence, it continued by asserting that the Hindenburg report was intended to make it possible for the US-based short seller to book gains.
Hindenburg responded, to be clear, we believe India is an emerging superpower with an exciting future. They also believe that the Adani Group, which has draped itself in the Indian flag while systematically looting the nation, is holding back India’s future. It comes as Adani Enterprises, the flagship company of Adani Group, is moving forward with a $2.5 billion share sale this week.
Hindenburg’s report from last week questioned the Adani Group’s ownership of businesses in tax havens like Mauritius and the Caribbean. Additionally, it asserted that Adani’s businesses were burdened by substantial debt, putting the entire group on precarious financial footing. Adani Group, on the other hand, stated on Thursday that it was looking into “remedial and punitive action” for Hindenburg Research in the US and India.
