Hindenburg Research, the US-based short seller, hinted at another major disclosure related to India on Saturday. On Saturday, the firm posted on X stating, "Something big soon India." This comes after their explosive report last January, which scrutinised the Adani Group just before a planned share sale by Adani Enterprises.
The release of Hindenburg's report led to a sharp decline in Adani Enterprises Ltd's (AEL) stock price, which plummeted by 59% within a month. The January 2023 report had a profound impact, wiping out $86 billion from the market value of Adani Group stocks and sparking a substantial sell-off of its overseas bonds.
Hindenburg accused the conglomerate of engaging in what it termed "the largest con in corporate history," leading to a steep decline in the value of Adani's listed companies.
Mewanwhile, the Securities and Exchange Board of India (SEBI) recently unveiled new details in the ongoing Adani-Hindenburg saga, particularly concerning Hindenburg's ties with New York hedge fund manager Mark Kingdon.
According to SEBI, Hindenburg provided Kingdon with an advance copy of its report on Adani nearly two months before its public release, enabling Kingdon to profit from strategic trades. In a comprehensive 46-page show cause notice, SEBI outlined a "Research Agreement" between Hindenburg and Kingdon Capital Management, established in May 2021.
