ZH: Adani Group stocks crash, dragging down Indian markets

© Edwardgerges

ZERO HEDGE reports:

India’s richest man, Gautam Adani, Founder and Chairman of the Adani Group, watched more of his corporate empire implode on Friday, with over $50 billion in market capitalization wiped out in two trading sessions following a report by US short-seller Hindenburg Research. 

Adani Enterprises plunged 18.5% on Friday, closing at 2,761 rupees. Shares slid below 3,276 rupees, a level at which investors were allocated shares in a recent equity sale. Other units like Adani Green Energy Ltd. and Adani Total Gas crashed by a daily limit of 20%. Sellers were out in force as daily volumes exceeded three-month averages. 

Hindenburg issued the short report late Tuesday night, claiming Adani Group conducted a “brazen stock manipulation and accounting fraud scheme over the course of decades.”

Turmoil spilled into the broader main equity index of the country. NSE Nifty 50 Index sank to its lowest levels since Oct. 21. 

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