By Yange Ikyaa
French energy giant, TotalEnergies SE, has said that its exposure to Adani Group companies was $3.1 billion of capital, as at the end of December, representing a small fraction of the multinational’s globe-spanning interests.
Bloomberg reported that the Adani Group, which has lost more than $100 billion in market value since Hindenburg Research accused it of stock manipulation and accounting fraud in a January 24 report, has partnerships with TotalEnergies in gas and renewable energy.
“TotalEnergies’ exposure resulting from these stakes is limited, as it represents 2.4% of the company’s capital employed,” and just $180 million of net operating income last year, the French firm said in a statement on Friday.
The Indian conglomerate has repeatedly denied the allegations, but they have undermined investor confidence in shares and bonds of Adani’s companies.
TotalEnergies owns a 37.4% stake in Adani Total Gas Limited, a listed gas distribution business; and 50% in Adani Total Private Limited, which is developing a liquefied natural gas import terminal. In 2020, TotalEnergies also acquired 20% in renewables unit Adani Green Energy Limited and a stake in solar assets for $2.5 billion.
