New Delhi: Moody’s Ratings said the US SEC and DoJ indictment will be credit negative for Adani group companies. The rating agency said it will take into account the group’s governance practices while rating the ports-to-retail conglomerate. The rating agency said that Adani group;’s ratings are mainly determined by the conglomerate’s ability to raise funds. These are used to meet its requirements for liquidity, Moody’s said.
Adani Group’s governance practices are also under scrutiny, according to the rating agency. In February, Moody’s upgraded the outlook on 4 Adani Group to stable from negative. This came exactly a year after the company’s stocks plunged following Hindenburg Research’s allegations against the Gautam Adani-led group.
The ratings of Adani Green, Adani Electricity Mumbai, Adani Transmission and Adani Energy Solutions were upgraded by Moody’s citing the group’s refinancing operations and demonstrating its ability to access debt capital at lucrative costs. The rating agency cited predictable cash flow and power purchase agreements as reasons behind the affirmation of Adani Green’s senior secured bond rating.
Adani Group’s indictment by the US Securities and Exchange Commission as well as the US Department of Justice may result in credit negative rating for the ports-to-retail conglomerate, said Moody’s Ratings. Biz News Business News – Personal Finance News, Share Market News, BSE/NSE News, Stock Exchange News Today
