Hindenburg Research is an American short-selling firm that has accused Adani Group of stock manipulation & fraud
The Hindenburg report has alleged that Adani group has been engaged in stock manipulation, money laundering, generating artificial revenues, and fraud.
Hindenburg Exposes Adani?
Adani Group's rapid stock rise has raised concerns due to lack of retail/institutional participation. The group's stocks are valued far higher than listed peers in domestic and global markets.
Separating Stock Buzz from True Value
Hindenburg alleges Adani Group's stocks are 85% overvalued and promoter stake exceeds SEBI's 75% limit. Report also raises concerns about high concentration of stock ownership in "funds."
High-Risk Gamble?
Adani Group's plans for capital-intensive ventures and FPO may be threatened by Hindenburg's allegations. Negative public perception can deter investors and increase default risk for the leveraged group.
Adani's Future in Jeopardy?
A major part of the Hindenburg report focuses on past investigations and activities. Also Hindenburg itself has been under scrutiny for taking short positions on stocks before coming out with reports on them.