- Adani operates a robust corporate governance framework and is strongly committed to following all applicable laws and regulations
NE BUSINESS BUREAU
AHMEDABAD, JUNE 26
Stating that Adani Group operates a robust corporate governance framework, the Adani Group has clarified that it isn’t aware of any subpoena issued by the US Securities and Exchange Commission (SEC) to the investors there.
“All of our disclosures are a matter of public record. It is routine that various regulators will seek access to public material in an easy and referenceable manner,” the group said in a statement.
The clarification comes after Bloomberg last week reported that US authorities, including the SEC are enquiring about the representations made by Adani Group to its American investors in the wake of Hindenburg Research’s accusations that the group used offshore companies to manipulate its share prices.
“Adani Portfolio Companies and its businesses have acted as per the regulations and accounting standards of the jurisdictions in which they operate,” the group said.
“Adani Portfolio Companies are listed on the Indian exchanges i.e. NSE & BSE. In our listed portfolio six of our Ambuja, ACC, AWL, NDTV, APL and ATGL are purely domestic issuers and listed on the Indian exchanges.
Four of our portfolio companies AGEL, ATL, APSEZ and AEL issue global capital market paper with only APSEZ being a corporate issuer. AGEL has one instrument issued on corporate basis. All of the other issue’s are restricted group issuances.
Most of the bond issuance by Adani Portfolio Companies are under the Regulation S and 144A and Regulation D. Almost all the bonds (non Regulation D) are listed on SGX and / or India INX,” the statement added.
Some of the listed companies of Adani Group, including subsidiaries have issued bonds in the global capital market and the same are listed on the Singapore Exchange (SGX). The group clarified that most of these bonds have been raised under the ECB guidelines of the Reserve Bank of India.
Following the allegations made by Hindenburg Research in January and the rout in Adani stocks, the Supreme Court appointed a panel to investigate any breach of regulations. The initial report issued by the panel mentioned there were no regulatory lapses found with respect to the share price movement.
Further, the apex court has given market regulator Sebi time till August to investigate further and submit its findings.
In the recent months, the group has also taken several measures such as paring down debt, releasing pledged shares of promoters, and infusing fresh capital into group companies, which led to an increase in investor confidence.
“We request to avoid needless speculation at this time and wait for SEBI and the Hon’ble Supreme Court to complete their work and submit their findings,” the group said.
Adani operates a robust corporate governance framework and is strongly committed to following all applicable laws and regulations.
