Jugeshinder (Robbie) Singh, Group CFO of Adani Group, in an exclusive interaction with CNBC-TV18, said that they did not seek clarification from Foreign portfolio investors (FPIs) on the freezing of three foreign funds. However, the regulator and Registrar and Transfer Agent (RTA) confirmed to them that these funds (FPIs) are not frozen.
"There has been a malicious attempt to push a patently false story," he said.
"Post the news items, we had to issue a clarification in the interest of minority shareholders. Adani, as ourselves, we are long-term shareholders so the short-term gyrations don’t make that much difference to us. For all these funds that were purportedly frozen, we asked for a clarification from the registrar and transfer agent (RTA), which is a registration body and they confirmed to us that these funds are not frozen and are active and they have been trading actively. The central news item that was there that somehow these FPI funds for shareholders in various Adani Group companies were frozen is not correct. It is false," he further said.
Singh added that they need to act in the best interest of minority shareholders and the matter is under legal advice.
Singh further said that registers will continue to improve because the global interest in India’s largest infra utility platform is what will drive this change.
Earlier, Adani group issued a clarification with reference to the freezing of 3 foreign portfolio investor (FPI) accounts reflecting on the National Securities Depository Ltd (NSDL) website, while calling the media reports "blatantly erroneous."
Given the seriousness of the article and its consequential adverse impact on
minority investors, the company said that it has requested Registrar and Transfer Agent, with respect to the status of the demat account of the aforesaid funds and have their written confirmation vide its e-mail dated June 14, 2021, clarifying that the demat account in which the aforesaid funds hold the shares of the company are not frozen.
The NSDL website reportedly showed the accounts of Albula Investment Fund, Cresta Fund and APMS Investment Fund as being frozen without citing a reason. Post that, shares of Adani Group companies plunged.
The three funds feature among the top 12 investors and owned about 2.1 percent to 8.91 percent stakes in five Adani Group companies as of March 31, 2020, annual investor presentations show.
First Published: IST