The crisis of confidence plaguing Gautam Adani is deepening, with the selloff in the Adani group shares triggered by Hindenburg Research’s fraud allegations rapidly turning into a meltdown despite the completion of a key share sale.
The declines accelerated in afternoon trading in Mumbai after Bloomberg reported Credit Suisse Group AG has stopped accepting bonds of Adani’s group of companies as collateral for margin loans to its private banking clients. Adani Enterprises Ltd., the flagship firm that completed a $2.5 billion follow-on stock sale Tuesday, lost as much as 30%. Adani group’s dollar bonds also pared earlier gains.
