Adani Group Market Cap Skyrockets by ₹1 Trillion in a Single Day, Achieving Milestone Post Hindenburg Episode
Adani Group stocks witnessed a significant surge as the Supreme Court concluded hearings on the Adani-Hindenburg matter. Adding to the positive momentum, the Securities and Exchange Board of India (SEBI) affirmed that it requires no additional time for the investigation. This development contributed to a notable rise in Adani Group shares.
Adani Group stocks experienced robust gains, propelling the collective market capitalization (m-cap) to surge by over a lakh crore in a single session on Tuesday, November 28. This remarkable growth marks the first instance of such substantial gains since the Hindenburg episode in January earlier this year.
According to data from Capital Market, the combined market capitalization (m-cap) of Adani Group stocks witnessed a notable increase, reaching nearly ₹11.31 lakh crore on Tuesday from the previous session’s figure of approximately ₹10.27 lakh crore. This reflects a substantial surge of about ₹1.04 lakh crore in a single session.
On Tuesday, November 28, Adani Group stocks saw significant upswings following the Supreme Court’s conclusion of hearings on multiple petitions seeking an inquiry into the Adani-Hindenburg matter. The positive momentum was further bolstered by the Securities and Exchange Board of India (SEBI) informing the Supreme Court that it requires no additional time to conclude its investigation into the Adani Group.
Adani Enterprises, the flagship firm
experienced a notable surge of 8.66%, while Adani Total Gas outshone with the most substantial gain, soaring by an impressive 20%. Adani Power and Adani Green Energy also witnessed strong upticks, rising by 12.32% and 12.27%, respectively. Additionally, Adani Wilmar marked a gain of 9.96%, and Adani Ports saw a rise of 5.20%.
In the broader spectrum of Adani Group companies, NDTV share price rose by 11.73%, Ambuja Cements share price climbed by 4.22%, and ACC share price recorded a gain of 2.62%.
As previously reported by Mint, SEBI assured the Supreme Court on Friday that it requires no additional time to conclude its investigation into the Adani Group. Notably, 22 out of the 24 cases related to the Hindenburg matter have already been resolved, with the remaining aspects contingent on data from foreign regulatory bodies.
The three-judge panel headed by Chief Justice D. Chandrachud at the apex court has wrapped up hearings on various petitions urging an inquiry into the Adani-Hindenburg matter. The panel has requested written submissions to be provided by Monday, marking a significant step in the legal proceedings.
On January 24, Hindenburg Research, a US-based entity, released a report accusing the Adani Group of involvement in fraudulent activities aimed at artificially inflating its stock prices. In response, the Adani Group vehemently denied these allegations, presenting a detailed and comprehensive rebuttal to address the concerns raised by Hindenburg Research.
In the midst of the developments, 7 out of the 10 listed Adani Group companies revealed positive growth in net profit for the second quarter of FY24. Ambuja Cements, the flagship company in cement and building materials for the Adani Group, emerged as the standout performer. It achieved an exceptional 1,835% surge in its consolidated net profit, reaching ₹987 crore compared to ₹51 crore in the same quarter of the previous year.
Tuesday proved to be a strong day for Adani Group shares, witnessing a robust rally across various companies under the conglomerate.
In the morning trading session, the flagship entity, Adani Enterprises, saw a notable gain of 10%. Other firms within the Adani Group also displayed positive momentum, with gains ranging from 3% to an impressive 20%.
As of 11:25 am, Adani Enterprises soared by 10% to reach around Rs 2,447.95 per share. Simultaneously, Adani Ports climbed 6.32% to Rs 845.85, Adani Power experienced an 11.51% rally, reaching Rs 442.90 per share, and Adani Transmission surged by 16.47% to Rs 849.20.
The positive momentum extended to other entities affiliated with the Adani Group in early trade. NDTV experienced a 7.78% increase, reaching Rs 221, while ACC saw a rise of 3.02% to Rs 1,875, and Ambuja Cement gained 3.73%, trading at Rs 429.75.
This collective surge contributed to a significant boost in the combined market capitalization of the Adani Group, underlining the broad-based positive sentiment surrounding the conglomerate.