Shares of Adani Energy Solutions dropped by 7.15%, trading at ₹999.35, following MSCI’s announcement to exclude the stock from its Global Standard Index in the latest index reshuffle. This led to a significant market cap loss of over ₹10,087 crore. The global index provider cited concerns over Adani Energy Solutions’ free float as the reason for its non-inclusion, despite prior expectations that the stock might be added in MSCI’s November review.
MSCI’s decision was influenced by regulatory uncertainties around Adani Energy Solutions’ shareholding structure. The company recently received a show cause notice from SEBI regarding potential issues with the categorization of certain entities’ holdings. Due to this unresolved matter, MSCI decided not to adjust the stock’s Foreign Inclusion Factor (FIF) and Domestic Inclusion Factor (DIF).
In a statement, MSCI said, “We will continue to monitor Adani Group and related securities and issue further communication if appropriate.” According to Adani Energy Solutions’ September shareholding pattern, promoters hold a 69.94% stake, a factor that affects the stock’s eligibility for inclusion in global indices like MSCI.
This exclusion comes as a setback for Adani Energy Solutions, which had witnessed significant investor interest. However, concerns over its free float and promoter holdings have raised questions about the stock’s place in major indices, impacting its valuation and market cap.
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