Four Adani Group stocks rebound; Adani Ports jumps 8%, Adani Enterprises climbs over 1%

A motorcyclist drives past Sagar Kambli, an artist and a school teacher, giving final touches to a painting of businessman Gautam Adani, depicting the ongoing crisis of the Adani group, in Mumbai, on Feb. 3, 2023.
| Photo Credit: AP

Shares of four Adani Group firms, including Adani Enterprises and Adani Ports bounced back on Friday after facing heavy drubbing in the past 6 days.

The stock of Adani Enterprises rebounded 1.25% to settle at ₹1,584.20 apiece on the BSE. During the day, it tumbled 35% to ₹1,017.10 — its one-year low.

Shares of Adani Ports also bounced back and climbed 7.98% to ₹498.85 after falling 14.51% to ₹394.95 — its one-year low — during the day.

Ambuja Cements rallied 6.03% and ACC climbed 4.39%.

Some Adani Group stocks revived post the confident statement by TotalEnergies, a French energy company, raising the sentiment of the market, said Vinod Nair, Head of Research at Geojit Financial Services.

However, shares of Adani Transmission tanked 10%, Adani Green Energy (10%), Adani Power (5%), Adani Total Gas (5%), Adani Wilmar (4.99%), NDTV (4.98%).

Many of the group firms hit their lower circuit limits during the trade.

Adani Group stocks have taken a beating on the bourses after U.S.-based Hindenburg Research made a litany of allegations in a report, including fraudulent transactions and share price manipulation at the Gautam Adani-led group.

Adani Group has dismissed the charges as lies, saying it complies with all laws and disclosure requirements.

The 10 listed Adani Group firms have faced a combined erosion of over ₹8.76 lakh crore in the past 6 days.

French energy giant TotalEnergies, which had in past years taken stakes in two Adani group listed firms, on Friday said it has not performed any re-evaluation of its holdings because of volatility in stock prices following allegations of fraud.

In a statement, the French firm said its investment in Adani group entities were undertaken in full compliance with the Indian laws and its own internal governance processes.

The company has a 37.4% stake in Adani Total Gas Ltd and a 20% holding in Adani Green Energy Ltd.

“The board of Adani Enterprises Ltd., (AEL) decided not to go ahead with the fully subscribed FPO. Given the unprecedented situation and the current market volatility, the company aims to protect the interest of its investing community by returning the FPO proceeds and withdraws the completed transaction,” the company said in a statement on Wednesday.

Adani Enterprises, the flagship company of Adani Group, had a lacklustre start to its FPO, with only 1% subscription on the first day of the share sale. The offer was opened for public subscription from January 27-31.

Meanwhile, the 30-share BSE benchmark Sensex zoomed 909.64 points or 1.52% to settle at 60,841.88.