Adani Transmission shares drop 5%, hit fresh 52-week low amid debt refinancing plans

Shares of Adani Transmission plunged 5 per cent in Wednesday's trade amid a Reuters report that suggested the Adani group firm could announce debt refinancing plans in a few weeks. The report comes close on the heels of last week's report that Adani Green Energy has a refinancing plan which it will disclose after the fiscal year ends.

Reuters quoting sources suggested that Adani Transmission has no plans to raise additional debt for capital expenditure, which it plans to cover with operating cash inflows.

The group had hired banks to arrange calls with bond investors to reassure them about the payment capacity of its operating companies after it was caught up in a short-selling storm in recent weeks, the report suggested.

The stock fell 5 per cent to hit a 52-week low of Rs 788.75. With this, the scrip has fallen 81 per cent over its 52-week high of Rs 4,238.55 hit on September 16, 2022.

Adani group's m-cap have seen a steep erosion of Rs 11,10,706 crore ($134 billion) in m-cap from Rs 19,19,888 crore level on January 24 after allegations of stock manipulation and accounting fraud by Hindenburg Research. While the Adani group has denied the allegations, there has been no respite to Adani group stocks that are falling since.

The recent steep fall in Adani group shares meant none of the group stocks is in the list of 25 most-valued stocks in India. The combined market value of Adani group stocks have also fallen below HDFC Bank's market value, the four most valued company on stock bourses.

Meanwhile, Adani Transmission dollar bonds, due in 2026, hit a record low of about 75 cents on the dollar earlier this month. They were seen at around 84 cents on Tuesday, according to Tradeweb data.

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