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How Gautam Adani Lost More Than $60 Billion In Just 10 Days—And His Ranking As Asia’s Richest




Here’s a timeline of how Indian billionaire Gautam Adani has seen his fortune shrink by $64.5 billion in just 10 days as his group of companies battles allegations of stock manipulation and fraud from U.S.-based activist investor Hindenburg Research.


January 24, 2023Hindenburg Research discloses a short position against Adani Group’s listed companies and publishes a report that accuses the Indian conglomerate of engaging in “brazen stock manipulation and accounting fraud scheme over the course of decades.”

January 25, 2023The Adani Group’s CFO Jugeshinder Singh dismisses the allegations in a video address calling them “a malicious combination of selective misinformation and stale, baseless and discredited allegations that have been tested and rejected by India’s highest courts.” Adani’s fortune dips from $126.4 billion to $120 billion as the Indian stock market responds negatively though he remains the world’s third-richest person.


January 26, 2023Adani Group’s Legal Head Jatin Jalundhwala issues a statement saying the company was “evaluating the relevant provisions” under both U.S. and Indian laws for “remedial and punitive action against Hindenburg Research.” There’s no change in Adani’s net worth as Indian markets remain closed for Republic Day.

January 27, 2023Adani Group’s listed stocks are hit by a selloff causing its billionaire founder’s net worth to drop to $98.1 billion, pushing him out of the world’s top five richest people.

January 29, 2023The Adani Group issues a 413-page rebuttal against Hindenburg Research’s report and calls the short seller’s actions “a calculated attack on India, the independence, integrity and quality of Indian institutions, and the growth story and ambition of India.” In its retort, Hindenburg accuses the Adani Group of draping itself in the Indian flag “while systematically looting the nation.”

January 30, 2023Adani Group’s listed companies continue to take a hit on the stock market as Adani’s net worth slumps by another $8.5 billion to $88.2 billion.


January 31, 2023Adani Group completes its $2.5 billion follow-on share offering which manages to beat predictions and is fully subscribed, aided by investments from Middle Eastern institutional investors and other Indian billionaires. Adani’s net worth rises slightly to $89.1 billion.

February 1, 2023Adani Group’s listed firms are hit by another massive stock rout with his flagship Adani Enterprises ending the day 28.20% in the red. Adani loses the title of Asia’s richest person to compatriot Mukesh Ambani, and slides down to No. 15 on the list of the world’s richest people with an estimated net worth of $74.7 billion.

February 2, 2023In his first public remarks since Hindenburg’s allegations Adani addresses the cancellation of his flagship firm’s $2.5 billion follow-on offering saying it would been morally incorrect to proceed amid market volatility. The billionaire’s statement fails to assuage the markets, pushing Adani down to 16th Forbes’ list of the world’s richest people with an estimated net worth of $64.2 billion.


February 3, 2023The volatility surrounding Adani Group’s listed firms eased slightly on Friday, with its flagship firm Adani Enterprises ending the day up 1.38%, however, many of the group’s other public units hit their lower circuit on the market. After briefly falling out of the top 20 on our list of the world’s richest, Adani ended the day 17th with an estimated total net worth of $61.9 billion.

Big Number

$107 Billion. That is the total drop in the valuation of Adani Group’s listed firms since the company’s stock since Hindenburg’s allegations became public, according to Bloomberg.

What To Watch For

The Indian government and the country’s Prime Minister Narendra Modi have faced intense criticism from opposition parties over their silence on the allegations raised against the Adani Group. On Wednesday evening, Reuters reported that it was in touch with the Securities and Exchange Board of India (SEBI) on the matter. The regulator is expected to provide a report to the government soon. On Thursday the Reserve Bank of India (RBI) sought details from domestic banks about their exposure to Adani Group—including collateral used to back any loans to the conglomerate.

Further Reading

Adani Taps Indian Nationalist Fervor To Salvage His Empire—As He Slides Down Billionaire Ranks (Forbes)

Gautam Adani Is No Longer Asia’s Richest Person As His Empire Takes A Major Hit Following ‘Corporate Con’ Accusations (Forbes)

Who Is Gautam Adani, The Indian Billionaire That Short Seller Hindenburg Says Is Running A ‘Corporate Con’? (Forbes)


Source: Forbes

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