Moody’s Investors Service cut its outlook for Adani Green Energy Ltd., citing its “significant refinancing needs” and capital spending program.
(Bloomberg) — Moody’s Investors Service cut its outlook for Adani Green Energy Ltd., citing its “significant refinancing needs” and capital spending program.
Adani Group’s financial health is under intense scrutiny after US-based Hindenburg Research accused it of inflating revenues and manipulating stock prices. Some of its bonds dropped to distressed levels, while more than $100 billion got wiped from the stock market value.
The company, backed by Indian billionaire Gautam Adani, has repeatedly denied Hindenburg’s allegations of corporate wrongdoing and threatened legal action.
Adani honored coupon payments US-currency bonds by their early February due date, and the billionaire himself said in a video aired Feb. 2 that there was an “impeccable track record of fulfilling our debt obligations.”
But investors and regulators fear trouble at the conglomerate could spill over to the banking sector.
Firms across the conglomerate have dollar bonds worth around $8 billion outstanding, in addition to various other borrowings, according to Bloomberg-compiled data.
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