Tue Nov 26 12:16:09 UTC 2024: ## Adani Group Stocks Plummet After Fitch Downgrade Watch

**Mumbai, India** – Shares of Adani Group companies experienced significant declines on Tuesday, November 26th, following Fitch Ratings’ announcement that it had placed several Adani Group bonds on watch for a potential downgrade. The move comes in the wake of US bribery charges against several key Adani executives.

Adani Green Energy saw the most dramatic drop, with its share price falling 7 percent. Other significant losses included Adani Energy Solutions (5 percent), Adani Enterprises (nearly 4 percent), and Adani Total Gas, Adani Power, and Adani Wilmar (each down 3 percent). Adani Ports and Ambuja Cements also experienced declines, around 2 percent each, while ACC and NDTV shares fell by 1 percent.

Fitch cited increased corporate governance risks and potential contagion risks as reasons for the negative rating watch. While some Adani Group entities, like Adani Green Energy and Adani International Container Terminal, were affirmed due to their ring-fenced structures and stable cash flows, Fitch acknowledged the risk of higher funding costs and potential weakness in corporate governance.

This latest downturn follows a significant market drop on November 21st after the US indictment of Adani Group Chairman Gautam Adani and other executives on bribery and fraud charges related to a multi-billion dollar solar energy project. Despite these setbacks, GQG Partners, a major foreign investor in the Adani Group, reaffirmed its confidence in the conglomerate and stated its current exposure was manageable. The Adani Group itself has asserted it possesses sufficient cash reserves to meet its debt obligations for the next 12 months.

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