Temasek Holdings remains invested in Adani Ports despite the criticism from a US-based firm

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Singapore investor, Temasek Holdings (Private) Limited, continues to be invested in Adani Ports and Special Economic Zone despite the criticism that the Indian conglomerate is facing from a US-based forensics research institution, suggests a media report.

As per the latest pubic shareholding disclosure by Temasek, the company ‘remains invested in Adani Ports, The Straits Times reported on Monday, citing a spokesman for the 49-year-old state-owned investor which has USD 496.59 billion in assets under management as of December 2022.

The spokesman said the group does not comment on market speculation.

Through its subsidiary Camas Investments, Temasek owns just over 1.2 percent of Adani Port. The stake was acquired in 2018 for around SGD 147 million.

The Adani Group also runs an edible oil and food business in India called Adani Wilmar via a joint venture with Singapore-listed Wilmar International.

With a presence for over 20 years in Singapore, Adani Singapore is the headquarters for operations in the Southeast Asia region.

As per reports, Adani Group looking at a USD 100 billion expansion over the next decade is already in talks with Singapore investors, including Temasek and the Government Investment Corp (GIC), to raise USD 10 billion. Of the USD 100 billion expansion, USD 70 billion would be for clean energy, ports, and cement businesses.

Group Chairman Gautam Adani, the group chairman on September 27, 2022, while addressing the Forbes Asia’s conference in Singapore listed out his ambitious investment plans.

In his speech highlighting the growing global confidence in India, Adani said, “I expect the flow of FDI into India to further accelerate and rise above USD 500 billion over the next 15 years, making India by far the world’s fastest-growing destination for FDI.”

The Adani group is currently looking at an allegation by the New York-based forensics research firm, Hindenburg Research about stock manipulation and accounting fraud. The report has accused the Adani group of massive fraud and money laundering by pushing ahead with a $US2.5 billion ($3.5 billion) share offer, even as it is braced for a further selloff after bleeding $US50 billion in value last week.

The explosive report has split into Indian politics, accusing Adani of being closely linked to government-backed investors.

Following the accusations, shares in seven listed Adani companies and two cement companies owned by the group lost more than $US50 billion ($70 billion) last week.

Adani enterprise on Friday lost nearly a fifth of the value of its shares, hitting a low of 2720.90 rupees, well below the range of the new offer that opened for retail investors on the same day.

Denying the allegation by Hindenburg, Adani believes that the release of the research report was timed to cause maximum damage before a capital raising by Adani Enterprises.