The majority of Adani Group shares plunged on Monday as the Indian conglomerate’s response to criticism from a U.S. short-seller fell flat with investors, escalating a market meltdown that has now cost the company’s stock $65 billion in losses.
The Indian group, led by Asia’s richest man Gautam Adani, has been at odds with Hindenburg Research and responded on Sunday to the short-report seller’s from last week that raised issues with its debt levels and use of tax havens.
Adani claimed to have followed all local laws and to have provided the required regulatory disclosures.
On Monday, the stock prices of Adani Transmission , Adani Total Gas , Adani Green Energy , Adani Power , and Adani Wilmar decreased by 5% to 20%.
With a follow-on share offering this week, flagship Adani Enterprises, which is facing a crucial test, fluctuated between gains and losses before closing 4.8% higher. It remained substantially below the issue’s offer price, which if it is successful will be the largest share offering of its kind in Indian history.
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