Supreme Court Clears Adani of Hindenburg Allegations, Adani Stocks Surge 10%, Market Cap Soars Beyond Rs 15 Trillion

3 Jan 2024 , 11:07 AM

Adani Group stocks rose as much as 10% on Wednesday, with the conglomerate’s market capitalization surpassing Rs 15 lakh crore after the Supreme Court said there was no reason to transfer the case to the CBI and directed SEBI to complete its investigation into the Hindenburg allegations within three months.

Adani Energy Solutions was the largest gainer in the 10-stock category, rising 10%, while Adani Total Gas and NDTV rose 8-9% each.

Adani Green Energy, Adani Wilmar, Adani Enterprises, and Adani Power were all up 5-6%. Adani Ports, the cash cow of the Ahmedabad-based group, was up 3%.

While reserving a batch of petitions last month, the Supreme Court stated that it does not have to accept the Hindenburg report as the ‘true state of affairs.’

“We are not obligated to consider the content presented in the Hindenburg report as bonafide. This is the reason we instructed SEBI to conduct an investigation. It would be unfair for us to accept information from a report by an entity that is not present before us, and whose accuracy we cannot verify,’ stated the bench, including justices J B Pardiwala and Manoj Misra, in their remarks last month.

Adani shares have been on a roller-coaster ride since the Hindenburg report was issued on January 24, last year. The overall market value of all ten Adani equities fell to less than half at one point last year but eventually rebounded following a flurry of positive news, including investment by white knight GQG Partners.

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