Adani Group Group shares fell sharply on the stock market after the National Securities Depository Limited (NSDL) took action against three foreign funds which was one of the main stakeholders in the company.
The six registered Adani Group companies have plunged on the stock exchange to achieve lower circuits after developing reported.
At 11:30 a.m., Flagship Stock Adani Enterprises fell 13.27 percent at 1,387.60 per share; Adani Green Energy fell 5 percent at Rs 1,156.85 per share; Total gas Adani fell 5 percent at Rs 1,544.90 per share; Adani’s transmission fell 5 percent at Rs 1,522.50 per share.
It can be noted that the limited stock of the company has decreased by 25 percent to achieve the low intradays of Rs 1,201.10, down more than RS 400 from the close of last week RS 1,601.45.
Close the mainstay company market in bird birds falling to Crore Rs 1.4 lakh. Shares have risen by more than 700 per year, at least 200 percent since the beginning of this year.
Port Adani and Sez shares also fell 19 percent to achieve low RS 681.60 and close the market declined sharply to Rs 1.4 lakh crore.
The remaining companies of Adani Group – Adani Total Gas, Adani Green Energy, Adani Adani Power and Adani Transmission – Hit 5 Percent of Lower Circuits.
Why does the Adani Group share fall?
Foreign funds that have been frozen by NSDL hold shares worth 43,500 crore in four adani group companies – Adani Enterprises, Adani Green Energy, Gas Transmission and Adani Adani.
Albula Investment Fund Account, Dana Cresta and APMS investment funds have been frozen on or before May 31, according to information on the NSDL website. Freeze accounts mean that foreign funds will not be able to sell existing securities or buy.
Officials at the Custodian Bank handling foreign investors said that the action was taken against foreign funds because of the inadequate disclosure of information about beneficial ownership under the prevention of money laundering laws (PMLA), reported economic time.
The report, citing officials, said that guards usually warn clients from these actions, but accounts can be frozen if the related FPI does not respond or fail to obey. The statement from the adani group regarding this issue was awaited.
This development seems to have scuted investors of the Adani Group Company who have seen a meteor increase since 2020. Correction in the short term to medium can be expected, according to stock market analysts.
This is a blow to the Billionaire Industrialist Gautam Adani, whose companies have witnessed a meteor’s increase in the domestic stock market since last year, helping him become the second richest person in Asia.