Bharat Express

Hindenburg Research: Ambulance driver’s report shakes Adani group to seventh position

Adani Group has come down from 19 lakh crores to 15 lakh crores in just two days

Hindenburg Research shudder the Adani Empire

Hindenburg Research shudder the Adani Empire

Hindenburg Research: Anderson, 38, studied international business at the University of Connecticut after growing up in a tiny village in the state.

He worked as a paramedic while attending an international university in Israel in order to gain a “different set of experiences,” as he described it to the Financial Times in 2021. FactSet Research Systems, a provider of financial data, was where he began his financial career. He worked with investment management firms there and discovered that, as he told the FT, “the processes across these firms is practically the same, and not especially incisive.”

The report has given a big blow to the Adani Group led by Gautam Adani. After the arrival of this report noteable fall in the shares of Adani Group and also affected its net worth of Asia’s richest man Gautam Adani. Gautam Adani, who was at the fourth position in Forbes’ Real Time Billionaires Index, has now slipped to the seventh position. According to reports, the market capitalization of Adani Group has come down from 19 lakh crores to 15 lakh crores in just two days. In this way, there has been a huge decline of 4 lakh crores in the market capitalization of Adani Group in two days.

After the Hindenburg Research report came, the shares of Adani Group fell by up to 20 percent, after which there was an outcry in Dalal Street. All this happened after a report by the American research firm Hindenburg, which was founded by Nathan Anderson in the year 2017.

Also read: LIC loses Rs. 16,580 crore as Adani group stocks crash

Adani group rejected the report

Adani Group is terming the report of American research firm Hindenburg as malicious. Recently a statement was issued by the group, saying that Hindenburg Research published the report without contacting the (Adani) group or attempting to verify the factual matrix, which is selectively misinformed, stale, A malicious combination of baseless and slanderous allegations. Adani Group is also preparing for legal action against Hindenburg.

On the other hand, on the matter of legal action of Adani Group, Hindenburg justified his report and said that if the group has to take legal action, then they should take legal action in America. Also, in the statement issued by Hindenburg, it has been said that they will also demand many documents during legal action.

What is Hindenburg’s claim

Hindenburg claims that seven major listed companies of Adani Group are overvalued by more than 85 per cent. In its report, the research firm has asked 88 questions to Adani Group. Adani Group’s shares are continuously falling due to Hindenburg’s negative report.

Hindenburg is a forensic financial research firm that analyzes equity, credit and derivatives. The company is named after the high profile Hindenburg airship accident. This accident happened on May 6, 1937. Hindenburg Research finds out the disturbances happening in any company and then publishes the report about it. This firm has published many such reports till now.