BSE, NSE Remove Adani Enterprises From Short-term ASM Framework

As per the circulars issued by the BSE and the National Stock Exchange (NSE), both the bourses will exclude the securities of Adani Enterprises from the short-term ASM framework  effective from June 2.

The exchanges had put Adani Enterprises under the short-term ASM framework on May 24 after scrip witnessed a sharp rally following the clean chit from a Supreme Court-appointed panel in the stock price manipulation case.

“Adani Enterprises' securities are to be excluded from the short-term ASM framework effective from June 2," NSE and BSE said in two separate circulars on Thursday.

The SC-appointed panel looking into allegations made by Hindenburg Research found no evidence of a ‘regulatory failure’ by the Adani group. In its 173-page report, the committee said it found "no evident pattern of manipulation" in the sharp stock price rise in Adani group companies that can be attributed to “any single entity or group of connected entities."

The US-based short-seller Hindenburg Research in its January 24 report levelled allegations of fraud and stock manipulation against the billionaire Gautam Adani led group. 

Meanwhile, BSE and NSE had put the stock of NDTV, an Adani Group company, under the short-term ASM framework on Monday.

Stocks are moved into the short-term or long-term ASM framework by the stock exchanges in order to warn investors of unusual movement in share prices. The bourses place trading restrictions to curb volatility and avoid potential losses to retail investors.

On Thursday, the shares of Adani Enterprises ended 0.08% lower at ₹2,492.25 apiece on the BSE.

Updated: 02 Jun 2023, 08:28 AM IST