Adani shares drop as group cuts its growth targets by 50% | Hindenburg Crisis
Mumbai : The shares of most of the Adani Group of companies fell on Monday after reports came in that the conglomerate has cut down its revenue growth target to half and plans to postponed any new investment in the recent future.
Adani Green Energy Limited, Adani Total Gas Limited and Adani Transmission Limited were some shares which were trading at a limit of 5% down. Meanwhile, flagship Adani Enterprises was seen swinging between the gains and losses during the early trades of Monday.
According to a news report, the revenue growth for the next fiscal year has been slashed 215 to 20% from the earlier 40% target. The capital expenditure plans have also been slashed as the group is now prioritising on financial health over the recent Hindenburg crisis.
By this, the company is now aiming to preserve more capital and retired debt till the matter is resolved.
Moody’s Investors Service cut its outlook for Adani Green Energy and three other companies backed by Indian tycoon Gautam Adani, citing the plunge in the conglomerate’s stock market value.