Shares of Adani Green Energy Ltd (AGEL) slumped in Monday's fag-end deals after France-based TotalEnergies said it will not make any new financial contribution as part of its investments into the Adani group of companies amid a US federal indictment against the chief of the company Gautam Adani and his nephew Sagar. The Indian conglomerate, on its part, has denied the allegations and called them "baseless".
The stock plunged 11.36 per cent to hit a day low of Rs 932.90. It was last seen trading 9.67 per cent lower at Rs 950.60. At this price, it has nosedived 36.61 per cent in past five trading days.
"TotalEnergies has learnt through public announcements made by the US authorities of the indictment of certain individual Adani group executives in relation to an alleged corruption scheme linked to the business of Adani Green Energy Limited (AGEL). This indictment does not target AGEL itself, nor any AGEL related companies. In accordance with its code of conduct, TotalEnergies rejects corruption in any form," the French company stated.
"TotalEnergies, which is not targeted nor involved in the facts described by such indictment, will take all relevant actions to protect its interests as minority (19.75 per cent) shareholder of AGEL and as a joint-venture partner (50 per cent) in project companies with AGEL. Until such time when the accusations against the Adani group individuals and their consequences have been clarified, TotalEnergies will not make any new financial contribution as part of its investments in the Adani group of companies," it added.
TotalEnergies was not made aware of the existence of an investigation into the alleged corruption scheme, the company further said.
As part of its strategy to enhance its development in renewables in India through direct access to a portfolio of assets, TotalEnergies said it has also acquired 50 per cent stake in three joint ventures (JVs) operating renewable assets (AGEL23 in 2020, AREL9 in 2023, AREL64 in 2024).
On the stock-specific front, AGEL shares saw high trading volume today as around 12.80 lakh shares changed hands on BSE. The figure was higher than the two-week average volume of 4.07 lakh shares. Turnover on the counter came at Rs 132.46 crore, commanding a market capitalisation (m-cap) of Rs 1,51,591.91 crore.