Adani group stocks extend winning streak, rally up to 12% today

Adani group shares continued their positive momentum and extended their rally on Thursday with its stocks gaining up to 10% in early trade. The shares of the conglomerate have seen a recovery after the Adani group issued a clarification on charges of bribery by US authorities.

Adani Green Energy shares were trading at Rs 1,087.20, up 10% as of 10 AM. Shares of Adani Power Ltd surged 8.78% to Rs 569.45, while Adani Enterprises Ltd gained 4.39% to Rs 2,502.95.

Adani Total Gas Ltd was trading at Rs 775.65, up 11.76%. Shares of Adani Energy Solutions Ltd climbed 10% in early trade to Rs 726.85.

The rally follows a clarification by Adani Green Energy Ltd (AGEL) on Wednesday that dismissed allegations of bribery or corruption charges against key executives, addressing concerns raised by recent media reports.

CLARIFICATION FROM ADANI GREEN ENERGY

In its statement to the stock exchanges, AGEL said, “Mr. Gautam Adani, Mr. Sagar Adani, and Mr. Vneet Jaain have not been charged with any violation of the FCPA in the counts set forth in the indictment of the US Department of Justice (DOJ) or the civil complaint of the US Securities and Exchange Commission (SEC). The charges against them include alleged securities fraud conspiracy, wire fraud conspiracy, and securities fraud.”

The company added that media reports suggesting bribery allegations were incorrect.

Adani stocks recovered ground after a sharp fall in the previous session, which followed a downgrade by global rating agency Moody’s. The agency had revised its outlook for seven Adani Group entities, citing risks related to funding access and increased borrowing costs.

S&P Global Ratings had also pointed out that the allegations in the US could impact the group’s funding capabilities. However, the group’s clarification seems to have eased investor concerns for now.