New Delhi: The Adani Group will prepay $1,114 million for release of pledged shares ahead of their maturity in September 2024.
In a statement released Monday, the group said: “In light of recent market volatility and in continuation of promoters’ commitment to reduce overall promoter leverage backed by Adani Listed Company shares, promoters have posted the amounts to prepay USD 1,114 million ahead of its maturity of Sep 2024.”
In light of recent market volatility & in continuation of promoters’ commitment to reduce overall promoter leverage backed by Adani Listed Company shares, promoters have posted the amounts to prepay USD 1,114 million ahead of its maturity of Sep 2024: Adani Enterprises pic.twitter.com/1JOhv783xE
— ANI (@ANI) February 6, 2023
The statement added: “168.27 million shares of Adani Ports & Special Economic Zone Ltd, 27.56 million shares of Adani Green Energy Limited and 11.77 million shares of Adani Transmission Limited to be released in due course.”
The group has also denied reports that the conglomerate was planning to cut back its capital spending.
“… on the contrary Adani Group is moving to prepay all LAS (Loans Against Shares) finance,” a spokesperson for the group said in an emailed statement to Reuters.
The shares of its seven listed companies have seen a bloodbath after a brutal report by American short-seller Hindenburg Research on 24 January that questioned the group’s financial probity.
The shares have lost more than half their market value, topping a cumulative $100 billion after the report raised questions on the group’s debt levels and the use of tax havens.
In the bloody fallout, billionaire Gautam Adani cancelled a Rs 20,000-crore follow-on price offer of the group’s flagship company, Adani Enterprises.
Meanwhile, Opposition parties have kept up the heat on the ruling government – scuttling Parliament business for three days in a row on Monday – for not responding to the matter in the House.
They want a probe into the group’s affairs and into the possible risk to common investors by a joint parliamentary committee or a panel monitored by the Supreme Court. Protests were also held in several cities on Monday.
Also read: Adani crisis sparks protests and arrests; sell-off losses top $110 billion