Adani Power shares surged by 20% on Monday, marking a year-to-date increase of over 60% as the company secured new multi-billion dollar contracts.
GQG Partners LLC divested approximately 1% of its equity in Adani Group’s power unit last week in a $250 million transaction. This move indicates fund manager Rajiv Jain’s intent to realize profits from one of his most successful investments. Significant buyers in the open-market transactions included SBI Funds Management Ltd. and Citadel Securities LLC, with 35 million shares sold at prices ranging from 610 to 625 rupees each. This sale represents nearly a 100% gain from GQG’s average purchase price since it began acquiring shares in 2023.
The partial exit occurred as India’s securities regulator, the Securities and Exchange Board of India (SEBI), dismissed several allegations made earlier this year by the now-defunct Hindenburg Research against the Adani Group and its founder, Gautam Adani. Following this news, the combined market value of the conglomerate’s ten companies increased by almost $19 billion over two trading sessions through Monday.
Deven Choksey, managing director at DRChoksey FinServ Pvt., remarked, “With the overhang of SEBI’s probe into Hindenburg’s allegations nearly behind it, long-term investors are likely to return to Adani stocks. Adani Power, with its substantial capital-expenditure plans, is well-positioned to attract significant funds, and sentiment toward the company is set to improve.”
Representatives for Adani Power, GQG Partners, SBI Mutual, and Citadel Securities were not immediately available for comment.
The selling price of GQG’s shares represented a discount to Friday’s closing price of 709.4 rupees, adjusted for a one-to-five stock split. With about a 1% stake sold, this deal constitutes the largest portion of the power unit sold by GQG, whose Emerging Markets Equity Fund held a 1.77% stake as of the end of June, based on data from BSE Ltd.
Adani Power’s stock price reached the daily limit increase of 20% on Monday, making it the most valuable entity in the conglomerate’s portfolio. The power generator’s shares have increased more than 60% this year due to substantial contracts awarded by Indian state governments. GQG supported Adani in the aftermath of Hindenburg’s report, which had previously wiped out more than $150 billion in market value at one point. Although the group has yet to regain its pre-Hindenburg valuation of $235 billion, Adani Power’s shares have increased over fivefold, affirming Jain’s investment strategy.
Despite SEBI clearing Gautam Adani of certain allegations raised by the U.S. short-seller, he still faces ongoing regulatory scrutiny, including an indictment by the U.S. Department of Justice regarding an alleged $250 million bribery scheme. Efforts to resolve the fraud charges against him in the U.S. have reportedly stalled in recent months, according to Bloomberg News.
Further updates can be found on bloomberg.com.
Published on September 22, 2025.
