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India's Adani $2.5B Share Sale On Track Despite Market Rout

Adani Enterprises, a conglomerate controlled by Gautam Adani, announced that its $2.5 billion share sale remains on schedule at the planned issue price, despite a market rout in the group's shares.

Adani Group building
Adani Group building

Bankers on the deal were reportedly considering extending the sale or cutting the issue price following a report from a U.S. short seller that caused shares of Adani to plunge.

Adani Group Denies Changes to $2.5B Share Sale Schedule and Price

In a statement, Adani Group denied any changes to the schedule or issue price of its $2.5 billion share sale. The company stated, "All our stakeholders, including bankers and investors, have full faith in the FPO (Follow on Public Offer). We are extremely confident about the success of the FPO."

The Adani Group called a report by Hindenburg Research, which flagged concerns about debt levels and the use of tax havens, "baseless." It announced that it is considering taking legal action against the research firm. Seven listed companies of the Adani Group have lost a combined $48 billion in market value since the report was released.