Credit ratings agency Moody’s has warned Adani’s share plunge could hit the group’s ability to raise capital as Indian MPs demand an inquiry into the meltdown.
Adani row rocks India’s parliament amid contagion fears
Both houses of India’s parliament have been adjourned in chaotic scenes as some MPs demand an inquiry following a meltdown of shares in billionaire Gautam Adani’s group companies amid fears of wider financial turmoil.
Shares in Adani companies recovered after sharp falls earlier in the day but the seven listed firms have still lost about half their market value – or more than $US100 billion ($A142 billion) combined – since United States short-seller Hindenburg Research last week accused the group of stock manipulation and unsustainable debt.
Adani Group, one of India’s top conglomerates, rejects the criticism and denies wrongdoing.
Credit ratings agency Moody’s warned on Friday the share plunge could hit the group’s ability to raise capital, although peer Fitch saw no immediate impact on its ratings.