Leaving Hindenburg behind, Moody's upgrades four Adani firms
₹9,350 crore ($1.125 billion) to the promoters of the company. Moody's maintained stable outlook ratings for Adani Green Energy Restricted Group (AGEL RG-2), comprising Wardha Solar (Maharashtra) Pvt.
Ltd, Kodangal Solar Parks Pvt Ltd and Adani Renewable Energy (Rj) Ltd. The outlook for Adani Energy Solutions Ltd Restricted Group 1 comprising Barmer Power Transmission Service Ltd, Raipur-Rajnandgaon-Warora Transmission Ltd, Sipat Transmission Ltd, Thar Power Transmission Service Ltd, Hadoti Power Transmission Service Ltd and Chhattisgarh-WR Transmission Ltd was kept at stable without any change by Moody's.
Also, the outlook on Adani Ports and Special Economic Zone Ltd (APSEZ) and Adani International Container Terminal Pvt Ltd was affirmed to be stable by the agency. While improving the Adani group firms' rating Moody's justified that following the Hindenburg event, the group has completed a number of debt transactions, including refinancing as well as obtaining new loan facilities, demonstrating its continued access to debt capital at a reasonable cost.
"At the same time, several high profile equity transactions by large institutional and strategic investors, such as GQG and Qatar Investment Authority, also demonstrated the Group's continued equity market access," said Moody's. Following certain PILs filed in the Supreme Court after the Hindenburg report, an investigation by the Securities and Exchange Board of India (SEBI) is still ongoing.
However, in a recent hearing the Supreme Court observed that the Hindenburg report cannot be treated as "true state of affairs" and there is no apparent regulatory failure attributable to Sebi. This, according to Moody's has curbed the potential tail risk in a downside scenario for
. Read more on livemint.com
