Kotak Mahindra Shares Slip Amid Adani-Hindenburg Scandal

Shares of Kotak Mahindra Bank dropped by over 2% due to its name surfacing in the Adani-Hindenburg controversy. The market valuation fell by Rs 7,777.33 crore. Meanwhile, a Sebi show cause notice raised questions about market manipulation, pointing to a link between Kotak Mahindra and Hindenburg's offshore fund setup.

On Tuesday, Kotak Mahindra Bank's shares took a notable hit, falling by over 2%, effectively wiping out Rs 7,777.33 crore from its market capitalisation. This dramatic drop was triggered by the bank's alleged involvement in the Adani-Hindenburg controversy.

The share price settled at Rs 1,769.60 apiece on the BSE, after experiencing an intraday low of Rs 1,736.65. Similarly, on the NSE, the shares declined 2.12% to close at the same price. The company's market value slumped to Rs 3,51,787.86 crore.

The turmoil stems from Billionaire banker Uday Kotak's bank and brokerage allegedly creating and overseeing an offshore fund used by an unnamed investor to profit from a plunge in Adani shares, post a damning Hindenburg report. As the Securities and Exchange Board of India (Sebi) issued a show cause notice, Hindenburg accused the regulator of not naming Kotak directly.

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