“Some global banks are considering temporarily suspending new loans to the Adani Group, owned by billionaire Gautam Adani, following the indictment in the US. IN”, — write: www.epravda.com.ua
Some global banks are considering temporarily suspending new loans to the Adani Group, owned by billionaire Gautam Adani, following the indictment in the US.
About this informs Reuters with reference to its own sources.
US government November 21 accused Adani and seven others for agreeing to pay $265 million in bribes to Indian government officials to win contracts that could generate $2 billion in profits over 20 years and to develop India’s largest solar power project.
Adani Group said the allegations, along with allegations made by the US Securities and Exchange Commission in a parallel civil case, were “baseless and denied” and that it would seek “all possible legal remedies”.
By rating Forbes, as of November 2024, Adani is the second richest person in India after Mukesh Ambani.
Following the allegations, ratings agency S&P warned that the group would need regular access to capital and debt markets given its big growth plans.
Executives at Adani’s two global lenders said they had received repeated calls from their banks to discuss the group’s risks and the impact of the indictment on its finances. According to Reuters sources, several international banks are considering the option of temporarily suspending new loans to the Adani group following the allegations made in the United States, while maintaining existing loans.
Research firm CreditSights has called the refinancing of the green energy conglomerate’s business, which is at the center of the allegations, the biggest challenge in the near term.
Bonds issued by the Adani group fell sharply on Friday 22 November, continuing a slide that began on Thursday 21 November after the first reports of the case in the US.
While shares of individual companies in the group partially recovered from the previous day’s losses, the overall market capitalization of all 10 Adani companies declined by 27.9 billion dollars in two trading days.
The Securities and Exchange Board of India, the country’s market regulator, is conducting preliminary checks to determine whether disclosures made by Adani companies were inadequate and violated local market rules, a SEBI official told Reuters.