Adani group stocks pare early gains even as NSDL says FPI accounts in Adani companies are not frozen

Gautam Adani

Adani group stock have rebounded at open on June 15, a day after the stocks took a beating on the back of media reports that suggested NSDL has frozen three FPI accounts owning Adani Group shares.

At close, shares of Adani Enterprises were up 2.49 percent, while Adani Total Gas,  Adani Transmission,  Adani Power were down 5 percent each. Adani Ports was down 0.86 percent and Adani Green Energy closed flat.

National Securities Depository Ltd (NSDL) has frozen the accounts of three Foreign Portfolio Investors (FPI) — Albula Investment Fund, Cresta Fund and APMS Investment Fund — which together own over Rs 43,500 crore worth of shares in four Adani Group companies-Adani Enterprises, Adani Green Energy, Adani Transmission, Adani Total Gas, media reports suggested on June 14.

However, NSDL clarified to the conglomerate later in the day that the accounts were not frozen.

“The status of demat accounts mentioned in your trail email are held in ‘active” status in NSDL system,” Rakesh Mehta, vice-president, NSDL told Adani officials.

Moneycontrol has reviewed the exchange of mails.

Reports of a freeze on the accounts sent shares of several Adani group companies tumbling on Monday.

Adani Group has quashed reports about the National Securities Depository Ltd (NSDL) freezing three foreign portfolio investors (FPIs) related to the group. Adani Group CFO Jugeshinder Singh told CNBC-TV18 that it was "a malicious attempt to push a patently false story".

Singh said that the conglomerate had not sought any clarification from the FPIs, but it sought the same from the regulator.

He also told the news channel that the Registrar and Transfer Agent (RTA) confirmed that the FPIs accounts had not been frozen and added that he cannot comment on the statements made by the FPIs.

"These Funds (FPIs) have been shareholders of Adani Enterprises since 2010 and these funds became shareholders of other entities due to AdaniEnt holding. Blackrock, Vanguard, Teachers, Credit Suisse have acquired stakes in several Adani entities," Singh told CNBC-TV18.

To be sure, the NSDL website still shows that the accounts of the three so-called foreign portfolio investors (FPIs) are frozen. But this punitive action pertains to older cases, NSDL officials told Moneycontrol, asking not to be named.

Separately, news agency Reuters quoted an unnamed NSDL official as saying the freeze is on accounts of the funds that hold certain other securities and is not new. "NSDL hasn't taken any action now," the source told Reuters.