The group of the Indian billionaire Gautam Adani, who owns the control of the Haifa port, canceled an offering in the amount of 2.4 billion dollars even though yesterday the transfer of demands from the investors had already been completed. The reason: the continued drop in the shares of the group’s companies, following the serious report by the Hindenburg Investment Company.
Indian billionaire Gautam Adani, who owns the Haifa port, lost 28 billion dollars in the last few days. The shares of the company managed by the richest man in Asia fell by more than 25% in January, after reaching a peak of 150 billion dollars last September.
But now he has new troubles. His company, Adani Enterprises, decided to cancel an IPO just before it was completed. Adani was supposed to raise 2.4 billion dollars, and after already insisting that the plan would go ahead despite accusations from an investment company called Hindenburg that his company was being accused of fraud – he retracted it.
so what happened? Adani decided to cancel the IPO and give up the recruitment at the last minute. According to the company’s announcement, the decision stems from the fact that the shares continue to lose ground and that they want to protect investors from losses. “Our share price has been shaken,” he wrote in a message after his investors had already submitted requests. “The company’s board of directors felt that moving forward with an IPO was morally wrong.”
Adani himself arrived at the port of Haifa yesterday and spoke with Prime Minister Benjamin Netanyahu. “Help me get building permits,” he pleaded, just before his empire sank. “We received a considerable amount of real estate. With the help of the new government, we will change the city’s skyline,” he said.
After the big drop on Wednesday (28%), the stock itself lost 8.2% yesterday after the Hindenburg study. “The company has been engaged in brazen manipulations and accounting frauds for decades,” she stated. Adani posted a response in which he wrote that he was “deeply shocked and disturbed” by the report, calling it “nothing but a lie.”
But the companies associated with the group also fell hard. Adani Ports fell 20%, Adani Energy lost almost 6% and Adani Power fell another 5%.
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