Adani stocks extend losing run

Mumbai: Adani Group stocks extended their losing run Monday with the conglomerate shedding ₹51,300 crore in market capitalisation. While MSCI's decision to reduce the weights of four of the group's companies in its standard index triggered a fresh sell-off in the stocks late last week, news reports of the group toning down its growth targets soured investor sentiment further. Adani Enterprises, the group's flagship company, plunged 7% to close at ₹1,717.65, while Adani Ports and Ambuja Cements declined over 5% each. Adani Wilmar, Adani Total Gas, Adani Green Energy, Adani Transmission, Adani Power and NDTV were locked at the day's lowest tradeable limit of 5%. ACC ended 3% lower. The group has shed ₹10.02 lakh crore in market value since January 24, when Hindenburg Research released its report on the group.Adani Enterprises, Adani Transmission, Adani Total Gas and ACC could see outflows of $425 million or about ₹3,450 crore by the end of this month when the MSCI index adjustments come into effect.97897471A Bloomberg news report on Monday said that the conglomerate had reduced its revenue growth target to 15-20% from 40% for at least the next fiscal year.The Adani Group spokesperson said separately that the balance sheet of each of its companies is "very healthy.""We have industry-leading development capabilities, strong corporate governance, secure assets, strong cashflows, and our business plan is fully funded," according to the company release. "Once the current market stabilises, each entity will review its own capital market strategy... We are confident in the continued ability of our portfolio to deliver superior returns to shareholders."Adani Green, Adani Transmission and Adani Total Gas have lost 77%, 73% and 70%, respectively, since January 24. NDTV, Adani Power, Adani Enterprises and Adani Wilmar's shares have plunged between 53% and 65%, respectively, during this period.Investors have been concerned over the impact of the slump in Adani stock prices on the group's aggressive growth plans. According to a disclosure to exchanges on Friday night, the Adani Group pledged additional shares of three companies - Adani Transmission, Adani Ports and Adani Green Energy. In a separate release, State Bank of India (SBI) said it had sought more collateral from the group to make up for the drop in value of the pledged stock.Moody's Investors Service downgraded its rating outlook on four Adani entities - Adani Green Energy, Adani Green Energy Restricted Group, Adani Transmission Step-One and Adani Electricity Mumbai - to "negative" from "stable."

Adani stocks extend losing run
Mumbai: Adani Group stocks extended their losing run Monday with the conglomerate shedding ₹51,300 crore in market capitalisation. While MSCI's decision to reduce the weights of four of the group's companies in its standard index triggered a fresh sell-off in the stocks late last week, news reports of the group toning down its growth targets soured investor sentiment further. Adani Enterprises, the group's flagship company, plunged 7% to close at ₹1,717.65, while Adani Ports and Ambuja Cements declined over 5% each. Adani Wilmar, Adani Total Gas, Adani Green Energy, Adani Transmission, Adani Power and NDTV were locked at the day's lowest tradeable limit of 5%. ACC ended 3% lower. The group has shed ₹10.02 lakh crore in market value since January 24, when Hindenburg Research released its report on the group.Adani Enterprises, Adani Transmission, Adani Total Gas and ACC could see outflows of $425 million or about ₹3,450 crore by the end of this month when the MSCI index adjustments come into effect.97897471A Bloomberg news report on Monday said that the conglomerate had reduced its revenue growth target to 15-20% from 40% for at least the next fiscal year.The Adani Group spokesperson said separately that the balance sheet of each of its companies is "very healthy.""We have industry-leading development capabilities, strong corporate governance, secure assets, strong cashflows, and our business plan is fully funded," according to the company release. "Once the current market stabilises, each entity will review its own capital market strategy... We are confident in the continued ability of our portfolio to deliver superior returns to shareholders."Adani Green, Adani Transmission and Adani Total Gas have lost 77%, 73% and 70%, respectively, since January 24. NDTV, Adani Power, Adani Enterprises and Adani Wilmar's shares have plunged between 53% and 65%, respectively, during this period.Investors have been concerned over the impact of the slump in Adani stock prices on the group's aggressive growth plans. According to a disclosure to exchanges on Friday night, the Adani Group pledged additional shares of three companies - Adani Transmission, Adani Ports and Adani Green Energy. In a separate release, State Bank of India (SBI) said it had sought more collateral from the group to make up for the drop in value of the pledged stock.Moody's Investors Service downgraded its rating outlook on four Adani entities - Adani Green Energy, Adani Green Energy Restricted Group, Adani Transmission Step-One and Adani Electricity Mumbai - to "negative" from "stable."