Adani shares: Adani Enterprises, Adani Green, Ambuja Cements & 7 other group stocks fall today. Here's why

Shares of Adani group companies including Adani Enterprises, Adani Green Energy and Ambuja Cements declined in Monday's trade amid report the group has suspended work on a Rs 34,900 crore petrochemical project in Gujarat's Mundra. There were also reports that the group was looking to refinance $1.15 billion of overseas-listed bonds at two group firms, Adani Green Energy and Adani Ports & SEZ - via private placements. The broader market sentiment too was weak, due to concerns over the US banking system, ahead of the US Federal Reserve's policy meeting later this week.

At 9.25 am, shares of Adani Enterprises were trading 3.44 per cent lower at Rs 1,812.55. Adani Ports declined 1.52 per cent to Rs 669.75. Adani Power was down 3.18 per cent at Rs 193.60. Adani Transmission slipped 2.8 per cent to Rs 996.20. Adani Green Energy fell 1.4 per cent while Adani Total Gas and Adani dropped 2.71 per cent and 1.59 per cent, respectively. Cement stocks Ambuja Cements and ACC declined 1.07 per cent and 0.56 per cent, respectively. NDTV, another group stock, fell 0.95 per cent.

A PTI report suggested that the Gautam Adani-led group has decided not to pursue the Gujarat project, for the time being.  It has sent emails to vendors and suppliers to suspend all activities on an immediate basis, PTI reported. The Adani group's flagship firm Adani Enterprises had in 2021 incorporated Mundra Petrochem, a wholly-owned subsidiary, for setting up a greenfield coal-to-PVC plant at Adani Ports and Special Economic Zone (APSEZ) land in Kutch, Gujarat.

Recently, the Adani group cancelled a Rs 7,017 crore coal plant purchase and shelved plans to bid for a stake in power trader PTC India. The fresh report on the 1 million tonnes per annum Green PVC project, if true, would add to the group's recent steps to downsize its debts.

Meanwhile, a report by the ET suggested the group is engaged in exploratory talks with potential overseas investors, such as global insurance firms, to privately place longer-tenor bonds of up to 30-year maturities. The bonds will carry fixed coupon rates.

The report suggested that the group has shortlisted two bond tranches, amounting to $500 million and $650 million, respectively, of Adani Green Energy and Adani Ports & SEZ, to begin with. The group believes there will be a reasonably good appetite for its bonds in the private market since most of the debt is backed by strong cash flows, as per the ET report.

Also read: Adani Green, Adani Ports shares in focus as Adani group looks to refinance $1.15 billion bonds 

Also read: Adani Enterprises, Adani Ports, other Adani group shares in focus today on suspension of Rs 34,900 crore Gujarat project