'Something Big Soon': After Report On Adani, Hindenburg Research Hints Another Indian Target

Hindenburg Research has alluded to another 'big' India revelation following the Adani bombshell of the previous year. The American short seller stated, 'Something big soon, India,' in a post on X (formerly Twitter) on Saturday.

Shortly before Adani Enterprises' scheduled share sale, on January 24, last year, Hindenburg Research released a report that was highly critical of the Adani Group. The report caused a substantial sell-off of Adani Group's overseas-listed bonds and resulted in a 7.21 lakh crore (USD 86 billion) decline in the market value of the company's stocks.

In the ongoing Hindenburg saga, the Securities and Exchange Board of India (SEBI) has disclosed new developments that provide insight into the relationship between New York hedge fund manager Mark Kingdon and US-based short-seller Heinrich Research.

About two months prior to the report's public release, Hindenburg allegedly gave Kingdon an advance copy of its report on the Adani Group, allowing for large gains through clever trading, according to SEBI.

Stock nosedive

Following the report's release on January 24, 2023, AEL's stock price experienced a sharp decline, falling by 59 per cent in just one month, from Rs 3,422 to Rs 1,404.85 per share.

Hindenburg research

Famously, Hindenburg has pursued numerous prestigious companies after claiming to have done in-depth research on them.Most recently, they had taken aim at the Adani group in India, and the latter even sent them a defamation notice.

Nathan Anderson launched the US "investment research firm," as they refer to themselves, in 2017, and the company can be compared to a short-selling David taking on corporate Goliaths.