NSE and BSE will move Adani Green Energy, the energy generation arm of Adani Enterprises, under Phase II of the long-term ASM framework on Tuesday after moving two Adani businesses to Phase 1.
The exchanges announced in two separate circulars that Adani Green Energy would remain within the ASM framework but would transition to the appropriate higher levels on March 28.
The two exchanges moved Adani Total Gas and Adani Transmission from Phase II of the Long-Term ASM Framework to Stage-I on Friday.
Adani Green Energy and NDTV were included in the first phase of the long-term ASM framework on March 17 by NSE and BSE. On the other hand, Adani Group’s ten listed companies all finished Monday’s session in the red. Adani Power, Adani Transmission, Adani Wilmar, and Adani Total Gas all lost about 5% on Monday during stock market trading.
Additionally, during Monday’s intraday trading, a number of group companies exceeded the lower circuit limits.
A publicly traded company must have a price-earnings ratio, low divergence, required client concentration, number of price band hits, near-to-near price divergence, and low divergence under ASM’s criteria for shortlisting securities. In their statements, the NSE and BSE stated that Adani Power meets the requirements for inclusion in the short-term ASM.
“The applicable rate of margin will be 50% or the existing margin, whichever is higher, subject to a maximum rate of margin of 100%, on all open positions from March 24, 2023 to March 23, 2023,” the exchanges stated in the short-term ASM. Additionally, new posts were added on March 24, 2023.”
Additionally, the exchanges emphasized that the ASM’s shortlisting of securities is based on market surveillance and should not be interpreted as a negative action against the company or entity in question.
Following the publication of a report by US-based short-seller Hindenburg Research in January of this year, Adani enterprises group shares experienced significant declines. The reports said that Gautam Adani and his company had manipulated share prices and carried out fraudulent transactions.
However, the Adani group has denied each and every one of the claims made by the short-seller Hindenburg. The company also provided clarification regarding its compliance with all disclosure requirements and laws. In addition, this issue has developed into a significant political controversy in the country.