Fitch puts Adani group entities on rating watch negative

Fitch Ratings on Tuesday expressed concerns over the financial health of certain Adani Group entities, placing Adani Energy Solutions Limited (AESL) and Adani Electricity Mumbai Limited (AEML) on Rating Watch Negative (RWN).

The agency has placed the ‘BBB-‘ ratings on Adani Transmission Step-One Limited’s notes on RWN due to the recent indictment of certain board members of Adani Green Energy Limited (AGEL) by the US Securities and Exchange Commission and Department of Justice for bribery charges.

“The RWN reflects increased corporate governance risk and potential contagion risk that could affect the funding access and liquidity of the Fitch-rated corporate entities related to the Adani group, following the US indictment,” Fitch stated on Tuesday.

Attribution: Fitch Ratings report

Subediting: Y.Yasser