Adani Group: Embattled Indian giant strikes $1.87bn US deal

BBC: Indian multi-billionaire Gautam Adani's embattled business empire says it has secured US $1.87 billion (£1.6 billion) of investment from a US-based asset management firm.

Florida-headquartered GQG Partners has bought shares in four of the group's companies, Adani told investors.
It marks the first major investment made public by the firm since it was accused of engaging in stock market manipulation and financial fraud by short-seller Hindenburg Research.
Adani Group has denied the allegations.

Adani Group's seven stock market-listed companies had an estimated US $ 135 billion wiped off their value since Hindenburg Research's report was published on January 24.

The GQG investment will be split across four Adani companies, including flagship firm Adani Enterprises."This transaction marks the continued confidence of global investors in the governance, management practices and the growth of Adani portfolio of companies," said Adani Group Chief Financial Officer Jugeshinder Singh."We value GQG's role as a strategic investor in our infrastructure and utility portfolio of sustainable energy, logistics and energy transition," Singh added.

Rajiv Jain, Chairman and Chief Investment Officer at GQG, said he believed the “long-term growth prospects for these companies are substantial”.

He added that Adani was “widely regarded as among the best entrepreneurs of his generation.”
In a separate regulatory filing, Adani Enterprises denied media reports that the conglomerate had secured US $ 3 billion in credit from a sovereign wealth fund.

“We would like to clarify that the said news item appears to be a market rumour and hence it would be inappropriate on our part to comment on it,” the firm said.

Earlier on Thursday, India’s Supreme Court said it had appointed an independent panel to investigate US short-seller Hindenburg Research’s allegations against Adani Group firms.

The firm alleged that Adani companies had engaged in decades of “brazen” stock manipulation and accounting fraud.

It also claimed the companies had “substantial debt” which put the entire group on a “precarious financial footing”.