New Delhi: The Adani Group, which is probably going through one of its worst times, has halved its revenue growth target and plans to hold off fresh capital expenditure in an attempt to rebuild investor confidence, said Bloomberg quoting people familiar with the matter.
The group had originally targeted a 40 per cent revenue growth for the next financial year, it has now been cut down to 15 - 20 per cent, as per the report. It also said that capital expenditure plans have been scaled down as the group prioritises bolstering its financial health over aggressive expansion.
Gautam Adani's business empire lost over $120 billion of its market value ever since Hindenburg Research published its scathing report on 24 January 2023 alleging the conglomerate of accounting fraud and stock manipulation.
This move by the Adani Group to hold back on investments for even as little as three months could save the conglomerate as much as $3 billion funds that can be deployed to pay down debt or boost the cash pile, said another person in the Bloomberg report adding that the group's plans are still being reviewed and are set to be finalised in the next few weeks.
No comments:
Post a Comment