Adani Group Stocks Extend Plunge Tuesday As Abu Dhabi Firm's $400M Investment Fails To Fuel Up Sentiments

A majority of Adani Group stocks are extending their plunge as markets open Tuesday, even as the market was expecting some shift in sentiments following the latest backing from an Abu Dhabi fund.

What Happened: Abu Dhabi-based International Holding Co (IHC) has said that it will invest around ₹3,264 crore into Adani Group's flagship entity's follow-on public offering.

The Adani Enterprises FPO that was launched last week amid US-based Hindenburg Research's allegations, was subscribed to a mere 3% till Monday.

Media reports also suggest that the FPO can see a massive influx of ₹9,000 crore from family offices in Dubai and India. If that happens the company will get much closer to its goal of raising ₹20,000 crore through the FPO.

The investment from one of the Middle East's largest holding companies seems to have pumped life into the offering but failed to do the same for the Adani Group stocks that have been taking a severe beating at the market, continually, since Wednesday.

Price Action: 

Adani Enterprises shares traded 2.23% higher at ₹2,957.30, still significantly below the price band offered in the FPO.

Adani Green Energy shares tanked 7.77% to ₹1,187.60.

Adani Ports & SEZ was down 0.39% to trade at ₹596.25.

Adani Power shares traded 20% lower at ₹235.55.

Adani Total Gas shares traded over 17% lower at ₹2,347.65.

Adani Wilmar shares plunged to hit lower circuit at open, down 5% to ₹491.00.

Adani Transmission shares were down nearly 20% to ₹1,607.80.

Ambuja Cement shares traded 1.7% higher at ₹387.95. ACC shares traded 0.12% higher at ₹1,886.30.

NDTV shares traded around 5% lower at ₹234.

Read Next: US Short Seller Hindenburg Says India An ‘Emerging Superpower’ Whose Future Is Being ‘Held Back’ By Adani Group