Stocks of Adani group entities have shown a massive resurgence, after being in the red for the large part of the year.
In the past four sessions, the group’s combined market capitalisation zoomed Rs 3.3 trillion ($40 billion). As of Wednesday’s close, the market value of 10 listed stocks stood at Rs 14.5 trillion ($174 billion). The combined market cap is now Rs 4.7 trillion ($61 billion) shy of the pre-Hindenburg report levels.
Adani Group has plans to invest $75 billion in energy transition initiatives by 2030, chairman Gautam Adani said on Wednesday.
This is close to 25% below the levels seen on January 23.
As on January 24, the day of the report, the group’s total mcap stood at Rs 19.2 trillion ($235 billion). It slumped to a low of Rs 6.8 trillion ($82.3 billion) in February.
On Wednesday, the group recorded a Rs 64,000-crore rise in value. This rise was powered by Adani Total Gas, which was locked in the upper 20% circuit, and Adani Green Energy, which jumped 16%.
However, the flagship Adani Enterprises fell 2.5%, leading to a loss of more than Rs 8,500 crore. It was one of three group firms, besides ACC and Ambuja Cements, to close in the red.
Yet, only two group entities — Adani Power and Adani Ports — now command a market value in excess of the pre-Hindenburg report levels, while that of Ambuja and NDTV is little changed.
This resurgence in Adani group stocks has also come as a boost to Rajiv Jain’s GQG Partners. The firm stepped in to rescue the beleaguered Adani Group following the rout earlier this year, after the Hindenburg report.