Investors are optimistic as Adani Group shares surged 25% today.
Investors are optimistic as Adani Group shares surged 25% today.
Adani Group shares fall
According to a report released by the American intelligence agency Hindenburg on January 24, Adani Group, the most famous industrial company in Asia, is facing a serious decline. Also, at the global level, the Adani issue is exploding day by day. In India, both houses of Parliament are suspended and the opposition parties are insisting that the Prime Minister should give a proper explanation about Adani.
Suddenly 25% more expensive stocks
Meanwhile, Adani Group’s shares have soared as much as 25 percent today. This has given comfort to Adani Group investors. Adani Group shares rallied as much as 25 per cent today after the Hindenburg report, which has continued to slide. Adani Enterprises rose 25% to Rs 1,965.50, Ports gained 9.64% to Rs 598.70, and Adani Wilmar was upper circuit at Rs 399.40. The same Adani Transmission share price was upper circuit and touched a peak of Rs 1324.45.
The reason for the sudden price hike
The price hike is said to be due to Adani’s prepayment of part of its loans. This is refreshing and reassuring for investors,” market commentator Srinath Sreedharan told an English media outlet.
Also, JP Morgan said that Adani Group bonds are eligible. Following this, Adani Group shares have seen a rise today. “As per the existing index rules, Adani Group companies will remain eligible for inclusion in the CEMBI, JACI and JESG indices,” JP Morgan said yesterday.
A report released by JP Morgan
It further said in its statement, “We continue to monitor publicly available information on the Adani Group and the liquidity of its securities. Adani Group’s core businesses include ports, power generation, transmission and renewable energy, Adani Group has a total value of $7.7 billion on the CEMBI and JACI indices,” JP Morgan pointed out. Notably, the Corporate Emerging Market Bond Index Series (CEMBI) tracks US dollar-denominated debt issued by emerging market companies, and the JP Morgan Asia Credit Index (JACI) tracks the total return performance of the Asian fixed-rate dollar bond market.
Investors expect
Investors are also expected to keep an eye on his company’s earnings this week, with Adani Group shares up 25% today. Earlier, in the interest of investors, it said it was withdrawing its FPO sale and already paid Rs. Adani Group had also announced to withdraw Rs 20,000 crore. Besides, the Adani Group had also announced that part of the debt due by 2024 will be prepaid by 1,114 million US dollars. Click here to read full details on Adani.
– J. Prakash
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