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Since the exit of its two stocks from MSCI Inc., the Adani Group stocks have lost a total of $10 billion in the market value this week. Adani Total Gas and Adani Transmission gauged over concerns about potential equity dilution from a fundraising plan.
The two stocks were the biggest losers from the group as they fell 4 to 5 per cent each in trade at 11.30 am on May 19. Shares of these companies were locked in the lower circuit of 5 per cent after being removed from MSCI Index, which marks it as worst week for their trade, since February, as per a report by Bloomberg.
Meanwhile, Adani Enterprise will also witness the loss of almost 4 per cent, which is the biggest since March.
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The removal of two stocks of Adani Group from MSCI index comes days after its announcement of lowering their free fl0at in its May index. It was announced by the MSCI that it had cut the free float of Adani Total Gas by 9 per cent, which brought it down to 14 per cent, and Adani Transmission was brought down to 10 per cent from 25 per cent.
The Adani Group has been trying to regain their investors’ trust after the fraud allegations by Hindenburg Research in late January, which erased over $150 billion of its total market value.
