Adani Back in Turmoil After Tycoon Charged in Bribery Scheme

The Adani Group dismissed allegations by US prosecutors that its billionaire founder Gautam Adani participated in an $250 million bribery scheme, an indictment that threw the sprawling business conglomerate back into turmoil. Shares in flagship Adani Enterprises fell more than 20%, while an Adani unit scrapped a $600 million dollar bond sale. The charges, which the company said were baseless, came just as the company appeared to be regaining the market’s confidence following last year’s sell-off which was triggered by a report by Hindenburg Research accusing the company of fraud and stock manipulation. Adani’s net worth sank more than $15 billion earlier on Thursday, according to the Bloomberg Billionaires Index. GQG Partners, which took a contrarian bet on the company after the Hindenburg attack with an investment that’s ballooned to $10 billion, said it’s monitoring the charges.

Starbucks is said to be exploring options for its Chinese operations, including a possible sale of a stake in the local business that’s expected to attract interest from domestic private equity firms or conglomerates. The deliberations come as the US coffee chain faces pressure from activist Elliott Investment Management, which has said the company should explore “strategic partnerships” in China, its second-biggest market. Starbucks has recently faced strong competition from local rivals, particularly Luckin Coffee, known for its inventive drinks like coconut latte and brown sugar boba latte.