India's Adani Group sees $30b in value wiped off after US indictments
Adani group's 10 listed stocks had a total market capitalisation of about $147 billion at 0411 GMT, compared to $169.08 billion on Tuesday
The Adani Group headquarters in Ahmedabad, India. File photo: Dhiraj Singh/Bloomberg
Shares of Adani Group companies lost about $28 billion in market value in early trade on Thursday after US prosecutors charged the billionaire chairman of the Indian conglomerate in an alleged bribery and fraud scheme.
Gautam Adani's flagship company Adani Enterprises fell 10%, while Adani Ports, Adani Total Gas, Adani Green, Adani Power, Adani Wilmar and Adani Energy Solutions, ACC, Ambuja Cements, and NDTV fell between 8% and 20%.
Adani group's 10 listed stocks had a total market capitalisation of about $141 billion at 0534 GMT, compared to $169.08 billion on Tuesday.
US authorities said Adani and seven other defendants, including his nephew Sagar Adani, agreed to pay about $265 million in bribes to Indian government officials to obtain contracts expected to yield $2 billion of profit over 20 years, and develop India's largest solar power plant project.
Adani Green in a statement on Thursday said the US Justice Department had issued a criminal indictment against board members Gautam Adani and Sagar Adani and the Securities and Exchange Commission had issued a civil complaint against them.
The US Justice Department also included Adani Green board member Vneet Jaain in the criminal indictment, it said.
Adani Green's units had decided not to proceed with the proposed US-dollar denominated bond offerings due to developments, it added.
The indictment comes nearly two years after US shortseller Hindenburg Research alleged that Adani had improperly used tax havens and was involved in stock manipulation, allegations the conglomerate denied.
Also in early Asian trading on Thursday, Adani dollar bonds slumped, with prices down 3c-5c on bonds for Adani Ports and Special Economic Zone US00652MAJ18=TE. The falls were the largest since the Adani Group came under a short-seller attack in February 2023.
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