Adani Power, Adani Energy, Adani Green, Adani Enterprises: Adani stocks gain up to 3% after clarification

Shares of Adani Green Energy Ltd and other Adani group stocks such as Adani Power Ltd, Adani Energy Solutions Ltd and Adani Enterprises Ltd climbed up to 3 per cent in Wednesday’s trade after the group clarified that there are no bribery charges against Gautam Adani and other group executives.

Gautam Adani, Sagar Adani and Vneet Jaain have not been charged with any violation of the FCPA in the counts set forth in the indictment of the United States Department of Justice (DOJ) or civil complaint of the US Securities and Exchange Commission (SEC), Adani Green Energy informed stock exchanges.

Adani Green Energy said only Azure & CDPQ officials were charged with bribery in the US DoJ indictment and that there were no bribery charges against the Adani group executives. The indictment also does not specify any quantum of any fine or penalty, it suggested.

Shares of Adani Energy Solutions Ltd climbed 2.99 per cent Rs 619.15. Adani Power shares were up 1.86 per cent at Rs 445.90. Adani Enterprises Ltd advanced 1.64 per cent to Rs 2,185. Adani stocks gained a day after falling in the previous session after global rating agency Moody’s revised outlook downward on as many as seven Adani Group entities.

“Media articles which state that certain of our directors—namely Mr. Gautam Adani, Mr. Sagar Adani, and Mr. Vneet Jaain—have been charged with violation(s) of the FCPA are incorrect,” the statement said.

“They have not been named in any counts related to bribery, corruption, or conspiracy to obstruct justice,” the report added.

S&P Global Ratings had earlier suggested that the alleged bribery case against the Adani group chairman Gautam Adani and senior business executives could further impair the group’s funding access and increase funding costs.

Adani Total Gas added 1.78 per cent to Rs 590. Adani Wilmar Ltd rose 0.90 per cent to Rs 292.95. Adani Green Energy was flat at Rs 899.10. Adani Green Energy further noted that the directors have been charged on three counts in the criminal indictment namely (i) alleged securities fraud conspiracy, (ii) alleged wire fraud conspiracy, and (iii) alleged securities fraud.

Although the complaint prays for an order directing the defendants to pay civil monetary penalties, it does not quantify the amount of penalty, Adani Green Energy noted.