India’s Adani Enterprises calls off $2.5 billion share sale

PUNIT PARANJPE/ AFP

India’s Adani Enterprises has referred to as off its $2.5 billion share sale as a consequence of prevailing market circumstances, the corporate mentioned on Wednesday, days after a rout in its shares following criticism by a U.S. short-seller.

“Given the unprecedented situation and the current market volatility the Company aims to protect the interest of its investing community by returning the FPO proceeds and withdraws the completed transaction,” the corporate mentioned in a press release.

On Tuesday, Adani Group mustered help from buyers for the share sale for Adani Enterprises, in what some noticed as a stamp of investor confidence at a time of disaster.

But the selloff in Adani group shares and bonds resumed on Wednesday, with shares in Adani Enterprises plunging 28 per cent and Adani Ports and Special Economic Zone dropping 19 per cent, the worst day on document for each.