Adani Group stocks rally up to 17% amidst clearance of fraud allegations by US Agency

On the morning of December 5, shares of Adani Group companies witnessed a remarkable surge of up to 17%, spurred by a report revealing that the accusations made by Hindenburg Research against the conglomerate were deemed irrelevant by the US International Development Finance Corp (DFC).

The DFC reportedly conducted a thorough due diligence investigation before granting the conglomerate a substantial $553-million loan for a container terminal project in Sri Lanka, as per a Bloomberg report. While the report is yet to be independently verified by Moneycontrol, a senior US official affirmed that the US government considered Hindenburg Research’s allegations of corporate fraud against Adani inconsequential.

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In response to this positive development, flagship Adani Enterprises Ltd experienced a surge of more than 10%, reaching Rs 2,784.30 on the National Stock Exchange. This surge propelled its market capitalization back above the Rs 3 lakh crore mark. The stock has notably surged by 173% from its 52-week low, which was recorded earlier this year following the initial report that accused the group of stock manipulation and other alleged wrongdoings.

Notably, Adani Green Energy led the surge, gaining up to 17%. This surge was further fueled by the company’s announcement of securing an additional $1.36 billion funding through a senior debt facility.