The collapse of Adani's stocks doesn't show any signs of slowing down, even though Adani Ports started the day in the green. Amidst the rout, the conglomerate has rolled back its FPO and made statements to salvage investor confidence. Accused of inflating stocks to pledge them for loans, the Adani Group has now decided to repay funds borrowed against shares, ahead of time.
In order to address concerns about too much debt which have haunted Adani since last year, the loans will be repaid before maturity in 2024. In its statement the port to power conglomerate has cited cutting promoter leverage as the goal for this move. This will release 168 million shares pledged for loans, which represent 12 per cent of the promoters' stake.
Read the full statement here:
With this stake in Adani Ports pledged has been cut down to 5.31 per cent from 17.31 per cent, in Adani Energy, it has been cut down by 3 per cent, and for Adani Tranmission, it's down from 6.62 to 5.22 per cent.
The Adani Group has been bleeding market value, and opened the third week after the Hindenburg Research report with a Rs 50,000 crore loss. This comes after investors had already lost Rs 10 lakh crore in the bloodbath by the end of the past week.
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