MSCI ESG Research flags governance risks at Adani Group, changes assessment

MSCI ESG Research said on Friday it recently changed some of its environmental, social and governance assessments of Adani Group entities, after the Indian conglomerate was caught up in a short-selling storm in recent weeks.

Seven listed Adani Group companies lost over $100 billion in market value combined after a Jan. 24 report by Hindenburg Research alleged stock manipulation and improper use of tax havens, and flagged concerns over debt levels. Adani has rejected the concerns and denied any wrongdoing.

“On March 3, we downgraded our assessment of the Hindenburg-related controversy cases to ‘moderate’ from ‘minor’ following new developments in the relevant cases,” MSCI ESG Research said in a statement to Reuters.