Adanis stronger since Hindenburg: Report

The Adani Group is now in a much stronger position with no share pledges, low leverage, debt repayments, and improved valuations than at the time when it was under attack from short-seller Hindenburg, US-based research firm Bernstein has said.

- FE BUREAU

"Share pledge was a key concern last time, with a fear it could lead to a domino effect. If we look at the evolution of share pledges for the group there has been a dramatic drop across companies - this is one area where the group has taken significant action over the last 1.5 years," the brokerage said.

Pledges in Adani Power have reduced from 25% to 1% and from 17% to nil in the case of Adani Ports. Promoter holding is also up across the group (except Adani Energy Solutions due to QIP), especially Ambuja seeing promoter holding go from 63% to 68% due to the warrants, it added.