Some Of The World's Richest People Exposed To Adani Rout, Market Turmoil

Investors and joint venture partners of numerous firms of Adani Group are now exposed to the market turmoil amid one of the most talked about selloffs in the country's corporate history, after the conglomerate was accused of fraud last week by US-based short-seller Hindenburg Research, according to a Bloomberg report.

These magnates and corporations, from Virginia to Marseille and West Asia, include Wilmar International, controlled by the family of the richest person in Malaysia; retail giant Walmart, roughly half of which is owned by the world's second-richest family, the Waltons; EdgeConneX, a Virginia-based data centre services company; CMA CGM, the world's third-biggest container shipping company; Gadot Group, a chemicals supplier; Abu Dhabi-based International Holding Company, which is Adani Group's most critical backer.

According to Bloomberg, Adani Group grew at full pelt in recent years as its parent entity Adani Enterprises Limited (AEL) surged more than 1,600 per cent in 12 months, peaking in December. As a result, Gautam Adani, founder of AEL, became the second-richest person in the world, according to the Bloomberg Billionaires Index.

The Hindenburg report alleged that most of that growth was fuelled by excessive brazen stock manipulation. While Adani has denied these allegations, he called off the fully subscribed follow-on public offering (FPO) of Adani Enterprises, and the market also continues to suffer. It is expected that the turmoil surrounding Adani's businesses means consequences that will be echoed beyond India.