'India Is Not Adani,' Porinju Veliyath Says Group's Stocks Falling To 'Reasonable Levels' Won't Cause 'Systemic Damage' To Wider Market

Nine of Adani Group's listed companies including Adani Enterprises, Adani Green, and Adani Power were deep in the red on Thursday.

What Happened: Amid the rout in the Adani Group stocks, veteran investor and founder & CEO of Equity Intelligence India, Porinju Veliyath, took to Twitter to state that "India is not Adani." 

Famously called the ‘Czar of small-cap stocks,’ Veliyath argued that even if Adani stocks go down to "reasonable levels, there shouldn’t be any systemic damage" to the markets.

He further added that he himself has never invested in any Adani stocks.

Why It Matters: Following the allegations of U.S.-based Hindenburg Research, shares of the Adani Group companies have consistently been taking a heavy beating at the stock market. 

Now, with stocks continuing to plummet and media reports suggesting a SEBI investigation may be on the cards, many worry that it could have a severe impact on the broader economy, especially in the Indian banking space. 

Reserve Bank of India has reportedly sought details from local banks about their exposure to the Adani group of companies.

Institutions such as PNB and LIC face heavy losses — but have given assurances that there is not much to worry about.

Price Action: This is how the Adani Group shares traded in the late hours of trading on Thursday.

Adani Enterprises shares traded 27.60% lower at ₹1,541.85.

Adani Green Energy was down 10% to hit lower circuit at ₹1,038.05.

Adani Ports & SEZ was down 7.75% to trade at ₹445.90.

Adani Power shares traded 10.60% lower at ₹202.15.

Adani Total Gas shares traded 10% lower at ₹1,711.55.

Adani Wilmar shares plunged to hit lower circuit at open, down 5% to ₹421.45.

Adani Transmission shares were down 10% to ₹1,557.25.

Ambuja Cement shares traded 5.72% higher at ₹355.10. ACC shares were up 0.36%  at ₹1,850.30.

NDTV was down 5% to trade at ₹222.85.

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Posted In: adani enterprisesAdani GreenAdani Groupadani ports & sezAdani Total GasAdani TransmissionGautam AdaniHindenburg ResearchNDTV