In another jolt to the already beleaguered Adani group, the S&P Dow Jones announced on February 2, 2023, that Adani Enterprises shares will be removed from the Dow Jones Sustainability Indices following a ‘media and stakeholder analysis’ triggered by the allegations of stock manipulation and accounting fraud.
“Adani Enterprises (XBOM: 512599) will be removed from the Dow Jones Sustainability Indices following a Media & Stakeholder Analysis triggered by allegations of stock manipulation and accounting fraud,” S&P Dow Jones Indices said in a statement.
Also read: How much has the Adani group lost since the Hindenburg report?
The information was given in an index statement by the U.S. markets which also said that the removal will come into effect from February 7, 2023.
Adani group shares have witnessed massive correction since the Hindenburg report came out with allegations of corruption, malpractice, and stock manipulation.
In Friday morning trade, Adani Enterprises plunged nearly 30% in the first hour of the trade to its lowest since April 2021, taking losses to $28 billion since last week.
Adani Ports and Special Economic Zone Ltd, Adani Transmission Ltd and Adani Green Energy Ltd also slumped 10% each. Adani Total Gas Ltd fell 5%.
The meltdown in share prices marks a dramatic turn of fortune for Adani, who in recent years forged partnerships with, and attracted investment from, foreign giants as he pursues global expansion in sectors as varied as ports and power.
The Hindenburg report and the subsequent nosedive of Adani stocks has raised concern in the Parliament as well. The Opposition parties decided to meet on Friday morning to coordinate their strategy in Parliament, a day after they unitedly led the charge against the government over the issue of the Adani Group stock rout.
Various Opposition parties on Thursday stalled both houses of Parliament over the Adani issue and demanded a Joint Parliamentary Committee probe or a Supreme Court-monitored Committee investigation into it.
“Floor leaders of Opposition parties will meet at 10 am in the chamber of Leader of Opposition (in Rajya Sabha) Mallikarjun Kharge in Parliament House to coordinate strategy,” said Congress general secretary Communications Jairam Ramesh.