Record Adani Share Sale Seen Going Through Amid Hindenburg Claim
- Adani stocks slid as Hindenburg alleged corporate malpractice
- Abu Dhabi sovereign wealth fund among anchor investors in sale
The timing of short seller Hindenburg Research’s report on the Adani Group, just before the $2.5 billion share sale by the conglomerate’s flagship firm, has confounded market watchers. Still, allegations made by US-based firm may have come a little too late to derail India’s biggest ever primary follow-on public offering, they say.
The offering by Adani Enterprises Ltd. already lured a number of anchor investors before the Hindenburg report became news, several analysts noted, which along with a discount given to retail investors will likely help the sale go through. Investors including Abu Dhabi Investment Authority and state-controlled insurer Life Insurance Corp. of India are among anchors that bid in the additional share sale. The book for that category of investors was oversubscribed by 1.8 to 2 times, according to people familiar with the matter.