According to Ed, 12 Entities Benefited from Shorting Adani Shares.

According to Ed, 12 Entities Benefited from Shorting Adani Shares.

The Enforcement Directorate (ED) determined that a dozen entities were “top beneficiaries” of short selling of Adani enterprises’ shares after conducting a preliminary investigation into Hindenburg Research’s research on Adani Group, according to The Indian Express. Some of the short sellers apparently opened their positions just two to three days before the publication of the report, while others reportedly opened their first-ever short positions.

The Enforcement Directorate has determined that a dozen companies, including foreign portfolio investors and foreign institutional investors (FPIs/FIIs) based in tax havens, were the “top beneficiaries” of short selling in shares of Adani Group companies after conducting a preliminary investigation into the Hindenburg Research report and the subsequent market crash, The Indian Express has learned.

Short sellers are investors who wager that the value of shares will decline; they borrow shares to sell and then subsequently repurchase them at a profit.