Adani Enterprises shares breach pre-Hindenburg levels

Adani Enterprises’ stock rose 2.1% to an intra-day high of ₹3,457.85 on the NSE on Friday [View in browser]( [See all newsletters]( 25 May 2024 Adani Enterprises shares breach pre-Hindenburg levels [Adani Enterprises]( shares have reclaimed the levels seen in January last year, [prior to the damaging allegations levelled by short-seller hedge fund Hindenburg Research]( against the group triggering a sell-off in group stocks that wiped off billions of dollars of investor wealth. - Also read: [Adani Ports & SEZ to replace Wipro in Sensex]( On Friday, Adani Enterprises stock rose 2.1 per cent to an intra-day high of ₹3,457.85 on the NSE, overhauling the closing price of ₹3,442 on January 24, 2023, a day before the Hindenburg report came out. It fell to a low of ₹1,194.20 on February 27. Since then, the stock has nearly trebled. Though the shares ended flat with a negative bias at ₹3381, the stock has appreciated over 22 per cent in the last 11 trading sessions, with an unbroken 5-day rally in between till Thursday, when it rose 8.3 per cent. Sentiment in the stock got a boost with the prospect of it being included in the BSE’s Sensex which is expected to fetch inflows of $118 million in the stock from passive index funds. Shares of [Adani Ports]( [Adani Total Gas]( and [Adani Power]( have already crossed their pre-Hindenburg levels, but those of [Adani Green Energy]( Adani Energy Solutions and [Adani Wilmar]( still have to get back to those levels. On Thursday, the total market capitalisation of the group was at ₹17.23 trillion ($207.6 billion), but still about $22 billion short of what it was before the Hindenburg report. Along the way, the company and others in the group have been helped by periodic infusions of funds by [Rajiv Jain’s boutique investment firm GQG Partners]( supplemented by contributions from sovereign funds of UAE and Qatar. GQG Partners’ investments in the Adani group have appreciated around 150 per cent in little more than a year. Adani Enterprises, the Gautam Adani flagship, is the chief incubator of new enterprises in the conglomerate. Its board is scheduled to meet on May 27 to consider a proposal to raise funds through the issue of equity or other eligible securities. In February 2023, a follow-on public offer to raise ₹20,000 crore [had to be abandoned in the aftermath of the allegations](. According to media reports, the company is [planning to raise around $1 billion to fund its airports and new energy businesses](. You Might Also Like [Flipkart raises $350 mn from Google at $36 bn valuation]( [Companies]( [Flipkart raises $350 mn from Google at $36 bn valuation]( [Good rabi harvest, better monsoon to ease food inflation, says FinMin report]( [Economy]( [Good rabi harvest, better monsoon to ease food inflation, says FinMin report]( [Adani Ports & SEZ to replace Wipro in Sensex]( [Markets]( [Adani Ports & SEZ to replace Wipro in Sensex]( [India’s forex reserves hit record high of $648.7 billion]( [Forex]( [India’s forex reserves hit record high of $648.7 billion]( Stay informed Subscribe to businessline to stay up-to-date with in-depth business news from India [arrow]( Copyright @ 2024, THG PUBLISHING PVT LTD. If you are facing any trouble in viewing this newsletter, please try [here]( Manage your newsletter subscription preferences [here]( If you do not wish to receive such emails go [here](