Adani Group shares surged on Friday after India’s markets regulator SEBI cleared the conglomerate of stock manipulation allegations linked to U.S. short-seller Hindenburg Research.
SEBI said it found no evidence that the conglomerate used related parties to route funds into its listed companies, News.Az reports, citing foreign media.
Shares of the Adani Group were trading with impressive gains. For instance, Adani Power shares zoomed as much as 8.8% to ₹686.95 apiece on the NSE, while Adani Enterprises rallied 5.18% to ₹2,526.60.
Adani Total Gas shares jumped as much as 13.3% to ₹687.75 apiece on the NSE.
Adani Green Energy shares were trading 3.64% higher at ₹1,014.55 apiece on the NSE, while Adani Ports and Special Economic Zone was trading over 2% higher at ₹1,442.50 on the NSE. ACC Ltd shares were up nearly 1% at ₹1,873 apiece on the NSE, while Ambuja Cements was up 0.69% at ₹584.75.
The Securities and Exchange Board of India (SEBI), in two separate detailed orders, said the allegations of insider trading, market manipulation, and violations of public shareholding norms were found to be unsubstantiated after a detailed investigation.
Hindenburg, which shut its operations in January 2025, in January 2023 published a report against the Adani Group, alleging Adicorp Enterprises Pvt Ltd, Milestone Tradelinks Pvt Ltd, and Rehvar Infrastructure Pvt Ltd were used as a conduit to route funds from various Adani Group companies to fund publicly listed Adani Power Ltd and Adani Enterprises Ltd.
There was no violation of SEBI's disclosure norms, as the transactions between Adicorp, Milestone Tradelinks, and Rehvar Infrastructure with the conglomerate's firms did not meet the definition of a related party, SEBI board member Kamlesh C Varshney said in the two orders, PTI reported.
The regulator also found no violations involving substantial acquisition of securities or control that could mislead investors.
As a result, SEBI concluded that there was no basis for assigning liability or imposing penalties on the Adani entities or executives.
The regulatory clean chit follows months of scrutiny and speculation triggered by Hindenburg's report of January 2023, which triggered a stock rout of the listed Adani Group companies, eroding more than $150 billion in value at its lowest point.
Gautam Adani reacted to the clean chit by calling for an apology by those who spread false narratives using Hindenburg Research's "fraudulent and motivated" report, PTI reported.
In a post on X accompanied by the national tricolour, Adani said the SEBI clean chit has reaffirmed what his group has always maintained -- "that the Hindenburg claims were baseless".
