New Delhi: Gautam Adani has received a big blow. Two Adani Group companies have been dropped from the MSCI Global Standard Index. These companies are Adani Transmission and Adani Total Gas. It has been said on behalf of the index that this decision will be effective on both these companies after the end of trading on May 31.
MSCI has modified its index calculation for Adani Transmission and Adani Total Gas based on the number of freely tradable shares in this public sector market. This major decision has been taken after the quarterly business review of the index.
This can be considered a big blow for the Adani Group which is suffering heavy losses after the research report of American short seller Hindenburg came out this year. More importantly, the blow comes at a time when shares of Adani companies are trying to recover after emerging from the Hindenburg vortex.
The MSCI Global Standard Index’s decision to exclude two Adani group companies from the index comes at a time when the group is preparing to raise funds through three of its companies. According to a report, three companies of billionaire Gautam Adani’s Adani Group, Adani Enterprises, Adani Green Energy and Adani Transmission, have invested $5 billion or about Rs. A target of raising 40,000 crores has been set. This is a big step for Adani Group to raise funds after the Hindenburg Report. An important board meeting of these companies is going to be held tomorrow i.e. on 13th May and a big decision may be taken in it.
Adani-Hidenberg dispute hearing in Supreme Court today
On Friday, May 12, the Supreme Court will also hear petitions filed on the Adani-Hindenburg dispute. A six-member committee was constituted by the Supreme Court in March to probe the matter and the report has been submitted to the Supreme Court in a sealed envelope.
When the Supreme Court ordered the formation of a committee of experts on economic and financial management to probe the allegations made in the Hindenburg Report, Adani Group Chairman Gautam Adani welcomed the move. Retired judge Justice Abhay Manohar Sapre is chairing the committee.