Do you know Adani lost Asia’s richest man as stock loss hit $74 billion? The richest man in India, Gautam Adani, no longer holds the title of richest man in Asia. His stock value incresed to $74 billion on Wednesday.
Due to Wednesday’s stock losses, Adani’s estimated net worth dropped from $75.1 billion to 15% of Mukesh Ambani’s on the Forbes rich list.
The defeat indicated a significant setback for Adani. Seven listed Adani firms’ valuations and heavy debt were the subject of a research by Hindenburg Research last week.
Adani lost Asia’s richest man
For Adani, the losses were a serious setback. The billionaire gave up on school and started a business. In recent years, his riches and the stock values of his company, which includes ports, airports, mining, cement, and power, both seen rapid increases.
The tycoon is currently fighting to maintain his businesses and safeguard his reputation. One day after the Adani Group served investor endorsement for a $2.5 billion share offering for flagship firm Adani Enterprises, the stock drops took place.
The Adani group is involved in market manipulation and unauthorised use of offshore tax havens, according to the research published by Hindenburg Research last week.
The group, on the other side, has refuted the accusations, claiming that the short seller’s claim of stock manipulation is “without foundation” and results from a lack of knowledge of Indian law.
Avinash Gorakshakar described the decline in Adani shares as “frightening.”
Adani Power and Adani Wilmar both experienced 5% declines. The same period saw a 10% decline in Adani’s Total Gas.
The organisation was able to delay investor backing long enough to execute a share sale for the flagship company.
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According to Ambareesh Baliga, a Mumbai-based independent market analyst, “there was a tiny rally yesterday after the share sale went through, after seeming implausible at one point. However, the negative market mood has become obvious again after the bombshell Hindenburg report.”
“It is obvious that investor confidence has been damaged because stocks are down notwithstanding Adani’s refutation. Baliga stated that stabilisation would take some time.
Data also showed that since the publication of the Hinderburg report, foreign investors sold Indian equities worth a net of $1.5 billion. The biggest withdrawal over four straight days since September 30.
Hinderburg claimed that it had shorted the American bond and derivatives of the Adani group that were traded outside of India.