- Adani Group of India has cut its revenue growth.
- Hindenburg Research accused the group of stock manipulation and inappropriate exploitation.
- The Adani Group will now aim for revenue growth of 15% to 20% for at least the next fiscal year.
Adani Group of India has cut its revenue growth objective in half and expects to reduce new capital investment.
Since Jan. 24, when US short-seller Hindenburg Research accused the group of stock manipulation and inappropriate exploitation of offshore tax havens, listed firms controlled by billionaire Gautam Adani have lost more than $100 billion in market value.
The group has denied any misconduct and rejected the allegations.
According to Bloomberg News, the Adani Group will now aim for revenue growth of 15% to 20% for at least the next fiscal year, down from the earlier objective of 40%.
Holding off on investments for as little as three months may save the company up to $3 billion, according to the source, which added that the plans are still in the works.
The Adani Group‘s spokeswoman called the report “baseless, speculative,” but did not elaborate.
The group has also been involved in an inquiry by India’s market regulator into its ties to some of the investors in its canceled $2.5 billion share offering.
According to Reuters, India’s ministry of corporate affairs began a preliminary assessment of the group’s financial statements and other regulatory submissions made over the years earlier this month.
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