Good news for Adani Enterprises shareholders! NSE removes firm from additional surveillance framework

National Stock Exchange on Monday removed Adani Enterprises Ltd, the flagship arm of the embattled Adani Group, from additional surveillance measure framework a month after imposing it. The Adani firm will come out of the short-term ASM framework on March 8.

Last month, NSE had imposed ASM on three Adani Group firms -- Adani Enterprises, Adani Ports, Ambuja Cements -- in the wake of US short seller Hindenburg Research's scathing report leading to volatility in these stocks. However, a few days later Adani Ports and Ambuja Cements were removed from the ASM framework. 

Hindenburg's report alleged an improper use of offshore tax havens and stock manipulation by the Adani Group. It also raised concerns about high debt and the valuations of the listed Adani companies, which Adani Group vehemently denied,

On Monday, Adani Enterprises' scrip on NSE closed 5.5% higher at Rs 1,983.

During instances of high volatility in stocks, exchanges move stocks to short-term or long-term additional surveillance framework to safeguard investors from short selling or speculative trades.

A semblance of stability has been recently witnessed in Adani Group stocks ever since US boutique investment firm GQG Partners invested Rs 15,446 crore in four Adani Group frims.

Last week, SB Adani Family Trust has cumulatively sold about 21 crore in four of the Adani Group companies through the open market. GQG Partners bought 2.84 crore shares of Adani Transmission on Thursday at Rs 668.4 apiece aggregating to Rs 1,898 crore, 3.87 crore shares of Adani Enterprises Ltd at Rs 1,410.86 apiece aggregating to Rs 5,460 crore, 8.86 crore shares of Adani Ports at Rs 596.2 apiece aggregating to Rs 5,282 crore, 5.56 crore shares of Adani Green Energy at Rs 504.60 apiece aggregating to Rs 2,806 crore.

Post-Hindenburg report, the listed Adani stocks lost a combined $130 billion in market value.