Adani Group stocks surged today, rising between 1% and 10%, after the Securities and Exchange Board of India (SEBI) cleared the conglomerate of some allegations made by US-based short seller Hindenburg Research. Consequently, investor confidence received a significant boost.

Major Stock Gains

Adani Total Gas Ltd. led the rally, climbing as much as 19%. Meanwhile, the flagship Adani Enterprises Ltd. rose 4.3% intraday. Furthermore, Adani Power Ltd. gained up to 7.4% after Morgan Stanley gave it an “overweight” rating.

In addition, other group companies advanced: Adani Ports & SEZ Ltd. rose 2%, while Adani Green Ltd. and Adani Energy Solutions Ltd. gained nearly 4% each.

SEBI Findings

SEBI cleared two charges against Adani Group firms, although 22 investigations remain pending. The regulator found no evidence that the group used related-party transactions to move funds into its listed units. SEBI published the findings in two separate orders on Thursday.

Previously, the Ahmedabad-based conglomerate had denied the allegations raised by Hindenburg Research in January 2023.

Adani’s Response

Meanwhile, Gautam Adani, Chairman of Adani Group, reacted on X (formerly Twitter), “SEBI has reaffirmed what we have always maintained, that the Hindenburg claims were baseless. Transparency and integrity have always defined the Adani Group.”

Background of the Hindenburg Case

SEBI launched its probe in 2023 after Hindenburg accused the group of using tax havens and hiding related-party transactions.

As a result, the claims wiped $150 billion off the group’s market value at the time. However, most of its stocks have rebounded strongly since then.

Overall, the SEBI orders reinforce investor confidence and triggered the sharp gains in Adani Group shares today.