Adani CFO refutes report that the group has not fully repaid $2.15 billion of debt, backed by promoter shares

29 Mar 2023 , 08:55 AM

The chief financial officer (CFO) of the troubled conglomerate slammed reports that the Adani Group may not have fully repaid its $2.15 billion in debt, saying that the exchanges will update the information on promoter pledge shares at the end of the quarter and that media reports are a deliberate misinterpretation.

Jugeshinder Robbie Singh, CFO Adani Group, claimed on Twitter that everyone will be able to see through the intentional deception after exchanges update the data following the conclusion of the quarter.

‘A reasonable professional journalist could have easily confirmed that all margin loans of the promoters have been paid in full by just seeing our public disclosure on the payments,’ Singh said.

An earlier article by The Ken alleged that the conglomerate’s announcement that it had paid off all of its $2.15 billion in share-backed debt did not match the data currently available with the exchanges.

According to the reports, promoter shares in the group companies Adani Transmission, Adani Green Energy, Adani Ports and SEZ, and Adani Enterprises continued to be pledged as collateral to lenders.

Both the NSE and BSE exchanges have contacted the group for clarification as a result of the news item.

Adani Enterprises lost 7%, while the Adani group stocks all finished the day in the red on Tuesday. Six of them were restricted to circuits with 5% lower limitations.

Prior to this, the Adani company had asserted that it had paid back $2.15 billion in loans that were taken by guaranteeing promoter shares well ahead of the deadline of March 31.

A devastating analysis by US short-seller Hindenburg Research, published on January 24, expressed worries about the debt levels of the Adani group and claimed that the organization was engaged in intentional stock price manipulation.

With the publication of the study, the market value of the 10 listed Adani group firms fell by nearly $135 billion. As the conglomerate signed a contract with US-based GQG partners, which invested $1.87 billion in four group companies, the stocks somewhat recovered lost territory.

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