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Ports to power behemoth Adani Group bolstered its market position after a rout on Thursday due to the allegations made by the Organised Crime and Corruption Reporting Project (OCCRP).
On Friday, the group saw significant gains, particularly in its energy portfolio, leading to an increase in its market capitalisation by ₹12,675 crore.
The total market capitalisation of the Adani Group companies was up at ₹10.62-lakh crore against ₹10.49-lakh crore on Thursday.
Adani Power shares increased three per cent to ₹330, taking its market cap to ₹127,375 crore; while Adani Green Energy and Adani Energy Solutions gained two per cent in market cap to ₹149,960 crore and ₹92,017 crore, respectively.
Adani Enterprises, the conglomerate’s flagship, saw its share price rise one per cent to ₹2,450 and its market capitalisation increased to ₹279,306 crore. Shares of Adani Ports, Adani Transmission and Ambuja Cements were also up by one per cent ; while that of NDTV increased by 0.40 per cent.
On the other hand, Adani Wilmar — the biggest loser among the pack — fell by 2 per cent to ₹352 a piece, while Adani Total Gas (0.29 per cent) and ACC (0.01 per cent) also declined marginally.
On Thursday, the OCCRP accused the Group of secret share trading involving the promoter family’s close associates. However, Adani Group rejected the claims and termed them as “recycled allegations”.
While all listed companies of the Adani Group experienced a drop in share prices, it was not like the turmoil witnessed in the aftermath of the Hindenburg report, which eroded the combined market valuation of the conglomerate by almost $150 billion.
The resurgence of Adani Group stocks is attributed to broader market recognition of the group’s fundamental strengths, coupled with a reduced emphasis on reports like the Hindenburg and the recent OCCRP findings.
“The Adani Group’s recent surge, especially in its power portfolio, exemplifies the renewed confidence and the Group’s strategic decision-making. The market has largely brushed aside the negatives and pivoting to future growth potential of the conglomerate. The Group’s resilience and adaptability in these challenging times have set them apart,” said an analyst.
GQG Partners, a US-based investment entity, has made investments in the Adani Group over recent months. It invested $1.87 billion in March and added another $500 million in May, and acquired a further $1 billion of Adani stocks in June. GQG Partners has been consistently increasing its stakes in Group companies.
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