Adani Group Stocks Surge After SEBI Clears Hindenburg Allegations

Adani Group shares rallied sharply on Friday, September 19, after the Securities and Exchange Board of India (SEBI) issued its final order dismissing allegations of stock manipulation made by U.S. short-seller Hindenburg Research.

SEBI Gives Clean Chit to Adani

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According to SEBI, there was no proof of insider trading, market manipulation, or transgressions of public shareholding regulations by Gautam Adani or his group firms throughout its probe. The regulator explained that, in accordance with current disclosure regulations, the companies Hindenburg named—

• Adicorp Enterprises,
• Milestone Tradelinks, and
• Rehvar Infrastructure were not a linked party.

The two detailed orders concluded that there was no misuse of funds or substantial acquisition of securities that could mislead investors. As a result, SEBI decided not to impose any penalties on Adani Group firms or executives.

This decision was made more than two years after Hindenburg's January 2023 forecast caused a huge sell-off in Adani Group stocks, which at its lowest point lost almost $150 billion in market value.

Market Reaction

The verdict lifted investor sentiment, sparking broad gains across Adani companies.

Adani Power share price surged and trading at 7.7% to ₹680.50 on the NSE, while Adani Enterprises climbed nearly 4% to ₹2,491.70.60. Adani Total Gas jumped about 8% to ₹652.60, Adani Green Energy advanced about 3% to ₹1,005.00, and Adani Ports rose over nearly 2% to ₹1,429.50. Cement subsidiaries ACC and Ambuja Cements also posted modest gains.

Gautam Adani responded on the social media platform X, calling the Hindenburg claims “baseless” and demanding an apology from those who amplified them. He added that the SEBI order reaffirmed the group’s stance throughout the controversy.

Analysts’ Views

The regulatory clearance also prompted fresh optimism from global investment firms. Morgan Stanley initiated coverage on Adani Power, describing it as a strong turnaround story in India’s corporate history. The firm expects robust earnings growth from project completions and new power purchase agreements.

Meanwhile, Jefferies issued a positive note on Adani Green Energy, highlighting management’s target of expanding capacity from 14 GW in FY25 to 50 GW by 2030. The firm noted that valuations remain at a 63% discount to peak 2023 levels, offering room for upside if execution improves.

Expansion Plans

Separately, the group has ambitious investment plans to strengthen its energy portfolio. By FY32, it aims to spend around $60 billion across renewables, power generation, and transmission. Adani Green Energy alone plans a $21 billion investment by FY30 to scale renewable capacity to 50 GW. Adani Energy Solutions will deploy $17 billion to expand transmission lines from 19,200 km in FY25 to 30,000 km by FY30, alongside smart metering and distribution projects.

Conclusion

SEBI’s clean chit has revived investor confidence in Adani Group stocks, easing concerns that have lingered since the Hindenburg episode. With ambitious growth plans and strong backing from global analysts, the conglomerate now looks set to regain momentum across both equity markets and India’s fast-growing energy sector.