Adani Harshad Mehta, Adani Group is india’s merge business magnet. Adani group was started at Ahemdabad in 1988. The Group has diverse businesses include port management, electric power generation and transmission, renewable energy, mining, airport operations, natural gas, food processing and infrastructure.
Will Adani Be Harshad Mehta in Future ?
This question have indirect answer because chances are 50-50% to happen. Yes or No at same time, we will do realistic analysis of The Adani Group.
Harshad Mehta was famous for its banking scam. He was not single person involved in complete scam but he was in limelight and was caught by research entities.
Adani group is fastest growing group in india’s history. It took only 3 years to Adani become world’s top 3rd richest person. Adani group is facing problems after a negative news by hindenburg report. Hindenburg report said Adani is doing scam and it is india’s biggest scam.
The Adani Group has previously been the focus of 4 major government fraud investigations which have alleged money laundering, theft of taxpayer funds and corruption, totaling an estimated U.S. $17 billion.
Adani family members allegedly cooperated to create offshore shell entities in tax-haven jurisdictions like Mauritius, the UAE, and Caribbean Islands, generating forged import/export documentation in an apparent effort to generate fake or illegitimate turnover and to siphon money from the listed companies.
1. If adani group really doing scam then adani group stocks fall and adani face actions by government and many cases file against adani group this is same case as late harshad mehta.
In harshad Mehta case harshad was taking bank fund without giving BR to bank and used this money for stock pumping. In adani’s case they use their own fund to pump its own stocks.
2. If Adani group was not in scam then this news is impact stock prices for value correction. In future adani group again take stand. Some adani companies trading at much higher P/E ratio multiple and that is not sustainable that’s why they are showing some short of correction
Adani group has focused on future and trying to help india to be in top position. Adani port is india’s largest port.
Credit Suisse on Adani Group
Adani Group shares were in freefall on Wednesday, when Union Budget 2023 was released, after global brokerage firm Credit Suisse assigned zero lending value to its bond. The global firm’s scrutiny of Adani Group bonds comes a day after Adani Enterprises’ follow-on public offer sailed through successfully due to the support from non-institutional investors.
Credit Suisse Group stopped accepting bonds of Adani group of companies as collateral for margin loans to its private banking clients, a sign that scrutiny of the Indian tycoon’s finances is growing after allegations of fraud by short seller Hindenburg Research, news agency Bloomberg reported.
Will Adani Group Bubble Burst Amid Hindeburg Report ?
Adani Group : Citi Group News
After Credit Suisse, Citigroup stop accepting bonds. A spokesman for Citigroup declined to comment. “Bonds of the Indian billionaire’s flagship firm plunged to distressed levels in US trading, and the company abruptly pulled a record domestic stock offering after shares in the Adani group suffered a $92 billion crash. “
“When a private bank cuts lending value to zero, clients typically have to top up with cash or another form of collateral and if they fail to do so, their securities can be liquidated. “
FPO was Cancelled on Thursday
In this current scenario adani group was impacted by negative news they cancelled their fully subscribed FPO today. Gautam adani share video on twitter about cancelling FPO. Adani Group cancelled its FPO on 2 February for investors benefits.