The Adani Group is launching a charm offensive with fixed-income investors in Asia this week in an effort to contain the repercussions of claims of accounting fraud and stock manipulation made by shortseller Hindenburg Research.
The investor meetings will be held Monday at Singapore's Capitol Kempinski hotel with assistance from about a dozen international banks. The group, which is funded by billionaire Gautam Adani, will meet on Tuesday and Wednesday at the Barclays Plc office in Hong Kong. Jugeshinder Singh, group chief financial officer, and Anupam Misra, corporate finance chief, are scheduled to attend.
Adani's ports-to-power venture is attempting to bolster support after US-based Hindenburg Research
Adani's ports-to-power venture is attempting to bolster support after US-based Hindenburg Research accused it of wrongdoing in January, wiping roughly $150 billion off its stock market value. Adani Group has always refuted these allegations.
The price of Adani Ports & Special Economic Zone Ltd.'s 2029 notes fell to a low of 72 cents on the dollar on February 2 before rising again more recently to roughly 78 cents. The group's bonds also fell in value. At the end of the following year, a number of group companies must repay their dollar debt.
At least 200 financial institutions worldwide have exposure to the $8 billion in dollar bonds issued by Adani Group
According to information collated by Bloomberg, at least 200 financial institutions worldwide, including BlackRock Inc., the largest asset manager in the world, have exposure to the $8 billion in dollar bonds issued by Adani Group.
After Hindenburg's report was released on January 24, the company has conducted calls with fixed-income investors many times. Several days later, on a call with noteholders, executives referred to the publication as "bogus," according to participants.
