The conglomerate, backed by Indian billionaire Gautam Adani, will pay $34.7 million in coupons on its dollar bonds this week, most of which have fallen to dismal levels as the US short-sellers allegations of fraud and market manipulation spread.
Adani Ports & Special Economic Zone Ltd had to pay $24.7 million in interest on three bonds on Thursday. Next up is Adani Transmission Ltd, which paid out $10 million in coupons on Friday.
There is no sign that any company is struggling to make payments, but traders, spooked by the crisis engulfing the group, have sold off the group’s bonds, dragging many of them to as low as 70 cents on the dollar. For example, coupon-bearing Adani Ports notes due today are priced at about 60 cents.
The turmoil was sparked late last month when US short-seller Hindenburg Research accused Adani Group of market manipulation and accounting fraud. Adani Group strongly disputes the claims, which company executives called “bogus” in a conference call with bondholders last week.