Adani Group shares in focus after Supreme Court backs SEBI probe
On Wednesday, the supreme court (SC) approved the market regulator Securities and Exchange Board's (SEBI) probe into the Adani-Hindenburg issue. Shares of adani Group firms remained stable. Although the shares of all ten listed adani Group firms fell, this was most likely due to profit taking by investors, they remained in the black.
Adani Enterprises, the conglomerate's flagship, surged 2.86 percent to Rs 3,016.40 about 11:15 a.m., while adani Ports jumped 1.27 percent to Rs 1,092.10 each.
Adani Transmission, which had gained up to 16% in early session, was trading 9.03 percent higher at Rs 1,158.40. Despite a drop in gains, the other adani Group shares held up well, in line with market expectations for the ruling.
Adani Group shares jumped ahead of the news, anticipating a good ruling.
The supreme court noted in its decision on a bundle of petitions relating to the case, "There is no ground to transfer the probe in this case from Sebi to a special investigation team (SIT)." The court stressed that the ability to transfer an inquiry should only be used in extraordinary instances with compelling explanations.
The supreme court also rejected petitioners' concerns about a potential conflict of interest among members of the earlier created Expert Committee.
It also instructed Sebi to complete its investigation into the Adani-Hindenburg matter within three months. Furthermore, both the Sebi and the government were directed to look into the claims of short-selling made in Hindenburg Research's study.
The stability of adani Group shares following the decision suggests that the market expected this conclusion.
Adani Enterprises, the conglomerate's flagship, surged 2.86 percent to Rs 3,016.40 about 11:15 a.m., while adani Ports jumped 1.27 percent to Rs 1,092.10 each.
Adani Transmission, which had gained up to 16% in early session, was trading 9.03 percent higher at Rs 1,158.40. Despite a drop in gains, the other adani Group shares held up well, in line with market expectations for the ruling.
Adani Group shares jumped ahead of the news, anticipating a good ruling.
The supreme court noted in its decision on a bundle of petitions relating to the case, "There is no ground to transfer the probe in this case from Sebi to a special investigation team (SIT)." The court stressed that the ability to transfer an inquiry should only be used in extraordinary instances with compelling explanations.
The supreme court also rejected petitioners' concerns about a potential conflict of interest among members of the earlier created Expert Committee.
It also instructed Sebi to complete its investigation into the Adani-Hindenburg matter within three months. Furthermore, both the Sebi and the government were directed to look into the claims of short-selling made in Hindenburg Research's study.
The stability of adani Group shares following the decision suggests that the market expected this conclusion.