Adani Total Gas, Adani Transmission fall up to 20% despite group's 413-page response

Shares of Adani Total Gas, Adani Transmission, and Adani Green Energy plunged for the third session in early trade on Monday, even as the spat between billionaire Gautam Adani-controlled conglomerate and the U.S.-based short-seller Hindenburg Research continues.

On Monday, the share price of Adani Total Gas Ltd fell 20% to ₹2,347 in early trade. During the session, the company's stock opened lower at ₹2,455 as against the closing price of the previous session at ₹2,934. On Monday, the S&P BSE Sensex was trading 0.27% or 161.73 points higher at 59,492. The company’s stock, however, is trading lower than the 5-day, 20-day, 50-day, 100-day, and 200-day moving averages. The stock has declined 17.81% in the last two sessions. The company’s market capitalisation stood at ₹2,58,196.91 crore, with as many as 1,28,214 shares exchanging hands on the BSE.

Meanwhile, the share price of Adani Transmission Ltd hit a 52-week low of ₹1,625 on Monday. At the time of reporting, the company’s stocks have declined by 19.97% at ₹1,608 in early trade. During the session, the company’s stock opened lower at ₹1,670 as against the closing price of the previous session at ₹2,009. The company’s stock is trading lower than the 5-day, 20-day, 50-day, 100-day, and 200-day moving averages. In the last two trading sessions, the company’s stock has declined by 16.34%. The company’s market capitalisation stood at ₹1,82,700 crore with 1,25,210 shares exchanging hands on the BSE against the two-week average of 0.31 lakh.

The share price of Adani Green Energy hit a 52-week low at ₹1,202. The company’s stocks have declined as much as 17% to ₹1,232 in early trade. During the session, the company’s stock opened lower at ₹1,291 as against the closing price of the previous session at ₹1,484. In the last two sessions, the company’s stocks have declined 12.51%. The company’s market capitalisation stood at ₹2,05,868 crore with as many as 4,41,500 shares exchanging hands on the BSE against the two-week average of 1.41 lakh shares. 

Meanwhile, Adani Wilmar Ltd and Adani Power shed 5% during the session. Apart from this, the stocks of only Adani Enterprises Ltd surged on Monday. During the session, the share price of Adani Enterprises surged by 5.33% to ₹2,909 in early trade amidst the second day of its ₹20,000 crore follow-on public (FPO), which is touted to be the country’s largest-ever secondary share sale, for retail investors.

Adani Group has lost ₹3.86 lakh crore in market cap in just two trading sessions by Friday. The market cap of the Adani Group at the end of December 2022 was ₹18.13 lakh crore but by Friday closing, the group market cap had fallen to ₹13.89 lakh crore, a drop of 23.42% within a month. 

Last week, the US-based short seller Hindenburg Research in a 106-page report accused the Gautam Adani-led conglomerate of indulging in fraud, stock market manipulation, and money laundering, thus, accusing the company of “pulling the largest con in corporate history.”

 The Adani Group, which is planning to take legal action against the US-based short seller, on Sunday issued a 413-page reply to the Hindenburg report, saying the allegations levelled by the "Madoffs of Manhattan" are "nothing but a lie", and its report is neither “independent” nor "objective" or "well researched".