As investors reduced their exposure to the Indian company and some bankers contemplated halting new funding in the wake of bribery and fraud allegations by U.S. authorities, Adani dollar bond prices dropped Monday to nearly one-year lows.
Gautam Adani, the group’s billionaire chairman, and seven other individuals were accused last week of conspiring to bribe Indian government officials with approximately $265 million.
The charges concerned alleged bribes to establish India’s largest solar power project and to secure contracts that might generate $2 billion in profit over 20 years.
Making false comments to the public after learning of the U.S. inquiry in 2023 was another charge.
The Adani Group has declared that it will pursue “all possible legal recourse” and that the charges, along with those made by the U.S. Securities and Exchange Commission in a related civil case, are unfounded.
Following the allegations, banks and regulators have started assessing exposure to the ports-to-power complex.
The Monetary Authority of Singapore stated on Monday that the total exposure of the Singaporean banking industry to the Adani Group is minimal.
A MAS representative said in a statement that “banks have in place measures to review and manage their exposures to borrowers and counterparties.”
In early 2023, DBS Group, the largest bank in Singapore in terms of assets, stated that it had S$1.3 billion ($967 million) in exposure to the Adani Group. When asked by sources for comment, DBS declined.
According to many bankers interviewed by Reuters, some international banks are thinking about temporarily stopping new lending to the company following the U.S. prosecution while keeping existing loans in place, which raises concerns about the company’s ability to obtain future funding.
“In the near term, the U.S indictment is likely to constrain the group’s access to financing, particularly in the offshore market,” a Lucror Analytics note published on Smartkarma said.
According to the business, as of the first half of the current fiscal year, which ended in March 2025, the cash balances of the Adani portfolio companies were $6.33 billion.
In a presentation on the credit and financial performance of its group companies, which it typically discloses following its quarterly results, Adani stated that the cash levels exceed long-term debt obligations for the next 28 months.
The Adani group, which was accused of inappropriately employing offshore tax havens by short-seller Hindenburg Research last year, is experiencing its second crisis in two years. The business refuted those allegations.
Some of the most liquid loans issued by Adani Ports and the Special Economic Zone dropped between one and two cents on Monday in Asian trade, while Adani Transmission debt saw a similar decline.
After losing over 7 cents in face value since U.S. authorities announced the allegations last week, Ports bonds maturing in 2027 were down 1.6 cents to 88.98 cents on the dollar.
On Monday, Ports’ bonds saw a decline of 8 to 10 cents in face value due to the announcement.
Adani Transmission’s May 2036 maturing debt dropped 1.8 cents on Monday, marking a loss of over 7 cents since Wednesday.
Over the course of two sessions last week, the market value of the ten listed equities of the Adani group,ledd by Adani Enterprises, dropped $27.9 billion in response to the U.S. charges.
On Monday, the stocks recovered some of their losses, with Adani Green Energy rising 4% in early trading and Adani Energy Solutions rising 6%.
