Adani group shares rise founder Anderson decides to disband Hindenburg 

Shares of Adani Group companies on Thursday surged in the range of 2,5% to about 7% in the morning hours before correcting on the BSE as Hindenburg Research founder Nathan Anderson abruptly announced to disband the short selling outfit.

“The plan has been to wind up after we finished the pipeline of ideas we were working on and as of the last Ponzi cases we just completed and are sharing with regulators, that day is today,” Mr. Anderson said in a post on Hindenburg’s website.

After market hours Adani Enterprises Ltd., the group’s holding company closed with a gain of 1.74% ₹2427, Adani Ports up 2.3%, Adani Power up 2.45%, Adani Energy Solutions up 1.54%, Adani Green Energy up 3.35%, Adani Total Gas up 1.78%, ACC up 0.77%, Ambuja Cement up 3.88% and NDTV surged 9.15%.

The American short-seller had in 2022 accused the Adani group of violation of corporate governance norms and manipulation of its share prices which the Group had rejected and termed it incorrect and motivated.

In 2024 it again published a report alleging SEBI chairperson Madhabi Puri Buch of conflict of interest and her proximity to the Adani Group for allegedly covering up the Adani case. Ms Buch had denied these allegations.

Both the Adani Group and Ms Buch did not offer any comment on the sudden development.

The timing and reasons behind this decision raise many questions, especially given its significant impact on markets and global narratives.

Hindenburg’s closure just before a possible pro-business Trump administration

signals fear of scrutiny and accountability, people tracking the development said.

It is believed that Hindenburg decided to retreat to avoid exposure under a regime focused on holding such entities accountable.

Hindenburg Research founded in 2017, has been known in financial circles for its reports targeting companies it alleged were engaged in fraudulent or unethical practices, including high-profile cases involving Nikola Corporation and the Adani Group.

Hindenburg might have been disbanded but its effect would continue to hound.

In his farewell note, Nathan Anderson mentioned plans to open-source the firm’sinvestigation methods, which could serve as a blueprint for future actors.