S&P Adani Enterprises will no longer be included in the Dow Jones sustainability index as of February 7, according to a statement from S&P.
During Friday’s trading session in Mumbai, shares of Adani fell 30% down.
Adani Enterprises Share Value Fall
Effective February 7, Adani Enterprises will no longer be included in the Dow Jones Sustainability Indices, according to a statement from S&P.
In a single sentence, it announced that “Adani Enterprises would be excluded from the Dow Jones Sustainability Indices following a Media & Stakeholder Analysis precipitated by claims of stock manipulation and accounting fraud.”
dow jones adani
According to a list of components on S&P Global’s website, Adani Enterprises was included in the Dow Jones Sustainability Emerging Markets Index as of December 19, 2022.
The request for comment from CNBC was not answered by Adani. On Friday, shares experienced a 30% decline during trading in Mumbai.
The S&P Global Corporate Sustainability Assessment questionnaires are used by the Dow Jones Sustainability Indices (DJSI) to rank businesses in 61 different industries.
According to the S&P Global website, the indices act as benchmarks for investors who “integrate sustainability issues into their portfolios.” The purpose of them is to act as “an effective engagement tool for investors who seek to push corporations to enhance their corporate sustainability policies.” Source-cnbc
Discussion In New Trending: Since the 24th of January, when a short seller’s report was published, Adani Group losses have now topped $100 billion.
Adani Enterprises was forced to abandon its planned $2.5 billion sale stake as a result of the market volatility.
Following a short-seller report that forced the Indian conglomerate Adani to cancel a planned public share sale, the business suffered losses of over $100 billion on Thursday.
Since the Jan. 24 publication of a thorough negative study from New York’s Hindenburg Research, which exposed a short position in Adani Group companies, losses across Gautam Adani’s primary enterprises have reached $107 billion as of 10 a.m. London time on Thursday.
The report accused the conglomerate of a “brazen stock manipulation and accounting fraud scheme over the course of decades” after what it claimed was a two-year probe.
Share Market – LOSS FOR ADANI COMPANIES
A 413-page riposte from The Adani Group, which vehemently refuted the claims and called them “nothing but a fiction” from the “Madoffs of Manhattan,” failed to assuage uneasy market mood or slow down a sharp sell-off.
The Adani reaction referred to Hindenburg as an “unethical short seller” and said, “It is extremely alarming that the comments of an entity sitting thousands of miles away, with no credibility or ethics has created a substantial and unprecedented unfavorable impact on our investors.”
According to the statement, “Hindenburg has not issued this report for any altruistic purposes, but solely out of selfish intentions and in flagrant violation of existing securities and foreign currency rules.”
The Adani commentary, according to Hindenburg’s response on January 29, “predictably tried to lead the focus away from serious issues and instead fanned a nationalist narrative, saying our research amounted to a “planned attack on India,” ” she said.
The Top 10 richest men in the world according to Forbes no longer include Gautam Adani.
Concerns concerning a wider systemic risk to Indian markets have arisen as a result of the rapid share slide of Adani Group companies. According to sources in both the government and the banking industry, the central bank of India has requested information from regional banks regarding their exposure to the Adani conglomerate.
Adani Enterprises decided to cancel its $2.5 billion follow-on public offering (FPO) on Wednesday due to “unprecedented” market conditions and significant daily price swings.
Adani Group
The Board has decided not to proceed with the FPO because “the investors’ interest is important and to protect them from any potential financial losses,” according to a statement from Adani.
The FPO sale has all of its buyers.
Adani Enterprises’ stock fell 26.7% during trading on Thursday, with Adani Ports down 6.6%, Adani Green down 10%, and Adani Transmission down 10%. Source
