Adani Group stocks shed up to 20% after NSDL freezes 3 FPI accounts

NEW DELHI: Shares of Adani Group firms tanked as much as 20 per cent on early trade on Monday after National Securities Depository (NSDL) froze the accounts of three foreign funds that have investments in the Adani Group companies.

The three overseas funds -- Albula Investment Fund, Cresta Fund and APMS Investment Fund -- together own over Rs 43,500 crore worth of shares in four Adani Group companies. These accounts were frozen on or before May 31, as per the depository’s website.

Following the negative news, shares of Adani Group companies hit lower circuits on Monday. Adani Enterprises plummeted 20 per cent to Rs 1,281.20, whereas Adani Ports fell 19 per cent to Rs 681.50.

Adani Green Energry, Adani Power, Adani Total Gas and Adani Transmission shed 5 per cent each to Rs 1,165.35, Rs 140.90, 1,544.55 and Rs 1,517.25, respectively.

The freeze on the three accounts could be because of insufficient disclosure of information regarding beneficial ownership as per the Prevention of Money Laundering Act (PMLA), said top officials at custodian banks and law firms handling foreign investors.

Adani Group founder Gautam Adani has become the second wealthiest person in Asia after the recent surge in group stocks. The industrial magnate's wealth has increased to $77 billion, registering a spike of $43.2 billion in 2021 till June 11, 2021. Adani is the 14th richest man on the planet.

Among the Adani Group companies, shares of Adani Total Gas were up sone 335 per cent in 2021 till June 11. Adani Transmission soared 264 per cent and Adani Enterprises 235 per cent. Adani Power was up 200 per cent, followed by Adani Ports (74 per cent) and Adani Green (17 per cent).