No credit risks so far for Adanis as group has good cash balance: Crisil

Crisil said there has been no negative actions so far by the group’s lenders and investors following the US indictment of the group founder chairman Gautam Adani.
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MUMBAI: Ratings agency Crisil report released on Friday ruled out any credit risks for Adani Group in the medium term. It said the group has sufficient liquidity and operational cash flows to meet debt obligations and the committed capex.

Crisil said there has been no negative actions so far by the group’s lenders and investors following the US indictment of the group founder chairman Gautam Adani. The group has flexibility to cut certain discretionary capex depending on developments in financial markets and future capital availability, the agency said, adding it has a healthy operating income and cash balance that reduces dependence on external debt to sustain operations.

On November 20, after a complaint by the US justice department and the Securities and Exchange Commission, a New York court had indicted eight people of the group including chairman Adani, along with cousin Sagar Adani and Vneet Jaain, key functionaries of Adani Green Energy for alleged securities and wire frauds and corruption of $265 million to government officials back home to win power contracts. The charges relate to alleged violation of the SEC guidelines that led to false and misleading statements in bond offer documents.

I would know if large amount paid: Adani CFO

Mumbai: Maintaining that no bribes were given to govt officials to secure contracts, Adani Group CFO Jugeshinder Singh on Friday said he would come to know if large amount was paid. The individuals named in allegations will respond and contest charges at the proper forum, he added.

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