Zoom News : Feb 08, 2023, 09:31 AM
Adani Group: Gautam Adani is no longer delaying in reducing his debt. Especially after the attack of the opposition, he has taken priority to reduce the debt in his plan. Earlier the announcement of loan prepayment of $ 1.11 billion and now to reduce the debt of the port unit, the matter of giving 5 thousand crore rupees i.e. $ 604.6 million is coming to the fore. In fact, the financial health and corporate governance of Gautam Adani firms have come under scrutiny following Hindenburg's allegations.Adani Ports and Special Economic Zone Limited said in a statement on Tuesday that in the new financial year starting from April, there will be an improvement of about 2.5 times in interest, tax, depreciation etc. before repayment, at present this ratio is more than 3 times. India's largest private sector port operator, which reported a lower earnings in the fresh quarter results, also said it will almost halve its capital expenditure in the next financial year as compared to the current year.The development comes just a day after the billionaire and his family repaid a $1.11 billion loan backed by shares of three group companies, including Adani Ports, to allay investor fears. Two other firms in the port-to-power group reported earnings on Tuesday, showing strong growth in profits, also potentially bringing relief to jittery traders.The group's finances have come under scrutiny after US short seller Hindenburg Research accused the Adani group of accounting fraud, fraud and market manipulation, wiping $110 billion off its market cap. Adani Group has repeatedly denied the allegations.Ambuja Cements Ltd and Adani Green Energy Ltd in their filing said that in order to maintain the principles of good corporate governance, the management of Adani Group entities is considering appointment of independent firms/agencies “to look into the issue of regulatory compliance”. Will examine related party transactions and internal controls for Management will assess the necessary action, if necessary.