"Calculated attack" on India and its growth story: Adani Group

AHMEDABAD: Adani Group on Sunday said the recent report by Hindenburg Research was not an attack on any specific company but a "calculated attack" on India, its growth story, and ambitions.

"This is not merely an unwarranted attack on any specific company but on India". The independence, integrity and quality of Indian institutions, and the growth story and ambition of India have been attacked," the Adani Group said in a 413-page response.

In its response to the Hindenburg Research, the Adani Group has attacked Hindenburg as "an unethical short seller". It added the report was "nothing but a lie".

A short seller in the securities market books gain from the subsequent reduction in prices of shares.

The Adani Group states that by "holding short positions" in Adani stocks, it is betting on the stock falling. Hindenburg exposed its hand as it made huge money with the fall of Adani stocks immediately following the publication of the report on January 24.

"The document is a malicious combination of selective misinformation and concealed facts relating to baseless and discredited allegations to drive an ulterior motive," the Adani Group's response said.

It went on to say the report by the US-based firm was intended only to create a "false market in securities" to enable Hindenburg, an admitted short seller, to book massive financial gain through "wrongful means at the cost of countless investors".

Adani Group, in its 413-page report on Sunday, has also responded to all 88 questions raised by Hindenburg in details. Earlier on Thursday, Adani Group said it was mulling legal options in the US and India against Hindenburg Research after its report accused firms owned by Gautam Adani of market manipulation and accounting fraud.

Jatin Jalundhwala, Group Head - Legal, Adani Group, in a statement earlier this week, said, "We (the Group) are evaluating the relevant provisions under US and Indian laws for remedial and punitive action against Hindenburg Research."

Reportedly, the research firm, in its report on Tuesday, raised concerns about shares of Adani group companies having a possibility of declining from their current levels, owing to high valuations.

The timing of the report by Hindenburg Research, Adani Group had said is "clearly betrays a brazen, mala fide intention to undermine" the Adani Group's reputation with the "principal objective of damaging" the group's Follow-on Public Offering from Adani Enterprises, the biggest FPO ever in India.