Home/ Markets / Stock Markets/  Adani Green Energy put under second stage of longterm ASM framework from today

After moving two Adani firms to Stage 1 of additional surveillance measure(ASM), the NSE and BSE will move Adani enterprises' energy production arm, Adani Green Energy under the second stage of the long-term ASM framework from Tuesday.

In two seperate circulars, the bourses said Adani Green Energy shall continue in the ASM framework but will be moved to the respective higher stage from March 28.

The move also comes after the two bourses put Adani Total Gas and Adani Transmission from the second stage of the long-term ASM framework to Stage-I on Friday.

On March 17, the NSE and BSE had put Adani Green Energy and NDTV under the first stage of the long-term ASM framework. On the other hand, all the 10 listed firms of the Adani group on Monday ended the session in red. During the trading on the stock market, h Adani Power, Adani Transmission, Adani Wilmar and Adani Total Gas each fell nearly by 5 per cent on Monday.

Moreover, many of the group firms hit the lower circuit limits during intraday trading on Monday. 

As per the parameters for shortlisting securities under ASM, publically listed company should have low variation, required client concentration, number of price band hits, close-to-close price variation and price-earning ration. The NSE and BSE, in their statement, said Adani Power satisfied the criteria for inclusion under short-term ASM.

Under the short-term ASM, the exchanges said, "Applicable rate of margin shall be 50 per cent or existing margin whichever is higher, subject to maximum rate of margin capped at 100 per cent, w.e.f. March 24, 2023 on all open positions as on March 23, 2023 and new positions created from March 24, 2023."

The bourses also highlighted that the shortlisting of securities under ASM is based on the account of market surveillance, and it should not be construed as an adverse action against the concerned company or entity.

The group stocks of Adani enterprises tumbled heavy after a report by US-based short-seller Hindenburg Research was published in January this year. The reports had alleged Gautam Adani and his company of fraudulent transactions and share-price manipulation, against it.

However, the Adani group has dismissed all the charges against it made by the short-seller, Hindneburg. The company also clarified of complying with all laws and disclosure requirements. Moreover, the issue has also become a major controversy in nation's political scenario. 

(With inputs from agency)

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Updated: 28 Mar 2023, 06:08 AM IST
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