No immediate impact on Adani entities' ratings following Hindenburg report: Fitch Ratings

Fitch Ratings on Friday said there is no immediate impact on the ratings of Adani entities and their securities following the Hindenburg report alleging malpractices at Adani group. In a statement, the rating agency said it expects no material changes to its forecast cash flow.

"There are also no near-term significant offshore bond maturities," it said.

Meanwhile, Moody's Investors Service said it is assessing overall financial flexibility, including liquidity position, of Adani Group firms given a significant and rapid decline in stock value post release of the Hindenburg Research report.

"These adverse developments are likely to reduce the group's ability to raise capital to fund committed capex or refinance maturing debt over the next 1-2 years," Moody's said.

Also read: Gautam Adani no longer among world's top 20 richest people

Adani Group stocks have taken a beating on the bourses after US-based short-seller Hindenburg Research made a litany of allegations in a report, including fraudulent transactions and share price manipulation at the Gautam Adani-led group.

French energy giant TotalEnergies, which had in past years taken stakes in two Adani group listed firms, on Friday said it has not performed any re-evaluation of its holdings because of volatility in stock prices following allegations of fraud. 

In a statement, the French firm said its investment in Adani group entities were undertaken in full compliance with the Indian laws and its own internal governance processes.

The company has a 37.4 per cent stake in Adani Total Gas Ltd and a 20 per cent holding in Adani Green Energy Ltd. 

(With inputs from PTI)

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