Retail investors in India purchased the majority of Adani Group companies as the extraordinary selloff brought on by the accusations of short-seller Hindenburg Research reduced their exorbitant values.
According to regulatory filings, individual investors increased their stakes in eight of the ten companies associated with the ports-to-power group in the three months leading up to March, including the group’s flagship company Adani Enterprises Ltd. and a crucial unit that manages a significant portion of India’s ports.
On Tuesday, almost all Adani Group equities rose in value in Mumbai.
The billionaire Gautam Adani-led company has sold shares and held road shows to reassure investors after American short-seller Hindenburg Research accused the organisation of accounting fraud and share price manipulation in a damning report released on January 24. Adani has consistently refuted the accusations.
Before Rajiv Jain, the chief investment officer of GQG Partners Inc. and one of the greatest names in emerging-market investing, backed the group with minority interest purchases in four companies, the epic breakdown in shares of Adani-linked companies reached $153 billion in February.
“GQG’s investment provided a solid foundation for Adani shares, and since then, investor sentiment, especially that of retail investors, has improved “said Abhay Agarwal, a fund manager with Piper Serica Advisors Pvt., a company based in Mumbai.
Earlier this month, Jain stated in an interview at Bloomberg’s New York headquarters that he anticipated his $2 billion wager on Adani equities to be a “multibagger”.
On the website of BSE Ltd., the most recent shareholding information for ACC Ltd. and Adani Power Ltd., the other two businesses connected to the group, was not yet available.
