Adani Enterprises Defers Rs 1,000 Cr Bond Plan After Market Rout: Report

Adani Enterprises has shelved a plan to raise as much as Rs 1,000 crore through its first-ever-public sale of bonds following a market rout in the week gone by, news agency Bloomberg reported citing people familiar with the matter.

Adani Enterprises in January had planned the public note issuance, working with Edelweiss Financial Services, AK Capital, JM Financial and Trust Capital.

The development is the latest in the fall of the Group’s fortuned post US-based short seller Hindenburg Research accused the Group on 24 January for stock manipulation and accounting fraud. 

The Group has been in damage control mode since the report came out and has vigorously denied allegations. However, it failed to halt the rout in Group’s stocks and bond prices.

The rout in stocks also led to the group abruptly calling off its Rs 20,000 crore follow-on public offer of shares.

Moody’s investor Services has said that the market rout will likely reduce the group’s ability to raise money for capital expenditure projects or to refinance its debt over the next year or two.