Index supplier MSCI says it has reduce the free-float designations of 4 securities of India’s Adani group, a transfer analysts have warned may affect their index weightings.
MSCI stated in a press release it has decreased the free floats of Adani Enterprises, Adani Total Gas, Adani Transmission and ACC.
The remaining firms’ free floats will stay the identical.
Adani didn’t instantly reply to a request for remark from Reuters.
The 4 firms for which the free float designation change was introduced had a mixed 0.4 per cent weighting within the MSCI rising markets index as of January 30.
The adjustments come into impact on March 1.
Billionaire Gautam Adani has seen some $US110 billion ($A159 billion) wiped off the worth of seven companies within the group he based after United States short-seller Hindenburg Research accused it of improper use of offshore tax havens and inventory manipulation.
Adani has denied any wrongdoing.
Analysts had stated a change in free float standing may have an effect on the weightings of MSCI index constituents, presumably triggering a shift by funds as many investments are aligned to such indexes.
Source: www.perthnow.com.au
