July 2, 2024

Hindenburg’s Adani Report Yields Modest Gains Amid Market Impact 📈

Hindenburg Research’s 2023 report on the Adani Group led to a significant market impact, erasing up to $153 billion of the conglomerate’s value. However, the American short-seller’s gains from the saga totaled just over $4 million, according to a statement on Hindenburg’s website. This marks the first time Hindenburg, founded by Nathan Anderson, has disclosed its earnings from the report accusing Adani of fraud and market manipulation.

Despite the turmoil, Adani Group’s market value has rebounded to $205 billion, about $30 billion below its pre-report level. Hindenburg’s modest gains highlight the difficulty in profiting from such market moves. The short-seller also criticized India’s Securities and Exchange Board (Sebi) for focusing on those exposing fraud rather than addressing the allegations. The fallout has also affected Kotak Mahindra Bank, linked to the offshore fund used for shorting Adani, leading to a 3% drop in its shares.

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