Entities of billionaire Gautam Adani on Tuesday pledged more shares of the conglomerate’s port unit as security to lenders, an exchange filing showed, amid a rout in the group’s stocks following a scathing short-seller attack.
Emerging Market Investment and Flourishing Trade and Investment pledged a 2.69% stake in the Adani Ports and Special Economic Zone to Catalyst Trusteeship, which acted as a security trustee on behalf of lenders, the filing showed.
The total stake pledged by the entities in Adani Ports is now 7.79%. Earlier on Tuesday, another disclosure showed Flourishing Trade and Investment had pledged 0.56% stake in the company.
Shares of Adani Ports have plunged about 20% since Hindenburg Research’s report on Jan. 24 alleging improper use of offshore tax havens and concerns about high debt. Seven listed group companies lost $65 billion in the rout.
Adani has called the claims baseless.
Around 17% of promoters’ stake in Adani Ports was pledged as of December-end, according to stock exchange data. Promoters hold over 65% stake in the company.
This report’s information was first seen on Zawya.com; to read more, click this link.
