Adani Group Faces Financial Pressure Amid Indictment

S&P Global Ratings downgraded the outlook for three Adani Group entities to 'negative', highlighting potential financial risks after U.S. charges against founder Gautam Adani for bribery. The indictment may affect investor confidence and funding access, crucial for the group's growth and refinancing needs.

S&P Global Ratings has adjusted its outlook for three entities of the Adani Group to 'negative' from 'stable', citing increased risks to their funding access after the indictment of founder Gautam Adani on bribery charges by U.S. authorities.

The U.S. indictment, which accuses Adani alongside seven others, could significantly affect investor confidence across the Adani conglomerate. This includes potential limitations on funding access for other group entities, potentially impairing their financing options and increasing costs.

S&P noted that the Adani Group's need for substantial equity and debt markets access, tied to its expansive growth ambitions, could be jeopardized by the charges. The situation has already triggered a decline in the value of the group's bonds and stocks.

(With inputs from agencies.)