IHC Maintains Confidence in Adani Group Despite US Indictment
International Holding Co. (IHC), a major foreign investor in the Adani Group, has reaffirmed its trust in the group's commitment to green energy and sustainability, despite the recent US indictment of billionaire Gautam Adani. In a statement, IHC emphasized its ongoing confidence in the group's contributions to these areas, stating, "Our partnership with the Adani Group reflects this trust."
IHC's continued support comes after the conglomerate clarified that there were no bribery charges against Gautam Adani or other group executives in the US indictment. This clarification has led to a recovery in the share prices of all 10 listed Adani Group companies, with Adani Green Energy Ltd (AGEL) and Adani Energy Solutions Ltd (formerly known as Adani Transmission Ltd) reaching their respective 10% upper price bands for the second consecutive session.
The combined market capitalization of the 10 listed Adani Group firms jumped nearly Rs 1.22 lakh crore on November 27, with the market capitalization increasing to Rs 12.61 lakh crore from Rs 11.39 lakh crore on November 26.
Furthermore, GQG Partners, a major investor in Adani Group companies, has stated that the fundamentals of the companies they invested in remain sound and their investment thesis remains unchanged. This statement comes despite the US indictment against Gautam Adani for alleged bribery.
IHC's continued confidence and GQG Partners' reaffirmation of their investment thesis suggest that the Adani Group may be able to weather the storm of the recent US indictment. However, it remains to be seen how the situation will unfold in the long term.