The new year 2023 has not proved to be better for Adani Group so far. After the report of an American firm on Wednesday, there was a rush to sell the shares of Adani Group. Due to which there was a huge fall in the shares. After this report, according to the Forbes Real Time Billionaire Index, Gautam Adani’s wealth decreased by $ 6.1 billion i.e. Rs 489,99,30,00,000.
Actually, forensic financial research firm Hindenburg has released a report of its own. In which it has been said that there is a short position in Adani’s companies. The report has also raised questions on the Adani Group Debt of all Adani Group companies. The report claimed that 7 major listed companies of Adani Group are overvalued by more than 85 percent. In the latest report of Hindenburg Research, 88 questions have been asked to Adani Group. This report changed the sentiment of Indian investors.
Adani Group replied
However, only after a few hours, a strong reply was given to the report of American firm Hindenburg towards Adani Group. Adani group has termed the report as baseless. Adani Group has rejected this entire report and termed it as malicious. Adani Group CFO Jugeshinder Singh said, ‘We are shocked that Hindenburg Research has published a report on 24 January 2023 without making any effort to contact us or verify the factual matrix. The report is a malicious combination of selective misinformation and stale, baseless and defamatory allegations, which have been tested and debunked by the Supreme Courts of India.’
What is Hindenburg Research?
Meanwhile, the history of Hindenburg Research has also come to the fore. Hindenburg has a track-record of finding corporate wrongdoing and suing companies. Hindenburg Research is a forensic financial research firm that analyzes equity, credit and derivatives. It is founded in the year 2017 by Nathan Anderson.
According to Hindenburg’s website, the firm audits “man-made disasters” for irregularities, mismanagement and undisclosed related party transactions. The company invests its capital in this work. Hindenburg usually publishes a report after finding possible wrongdoing, explaining the matter.
Big disclosure was made in the year 2020
Since the year 2017, Hindenburg has so far disclosed about alleged irregularities in about 16 companies. Last year, it also released a report regarding Twitter Inc. Earlier the company had given a short report in May-2022, but again in July made a detailed report public.
Although Hindenburg’s report against electric truck maker Nikola Corp in September-2020 is seen as a major victory. Nathan Anderson, the founder of Hindenburg, had told that Nikola has cheated investors regarding technological development. In which he challenged a video released by Nikola. A US jury later indicted Nikola’s founder on charges of lying to investors. Hindenburg says he came up with the company’s disclosures, along with findings from whistleblowers and former employees.