Shares of Adani Ports and Special Economic Zone (APSEZ) edged higher for a second day, with the BSE up 6% to Rs 529.35 in intraday trade on Monday. Shares of the Gautam Adani group of companies rebounded 26% from a low of Rs 394.95 last Monday.

APSEZ was quoted 5% higher at Rs 523.40 at 2:18 pm. In contrast, the S&P BSE Sensex fell 0.48% to 60,551.

Since January 24, or the past seven sessions, the stock has slumped 48% from Rs 760.85. All 10 listed Adani Group companies saw a sharp sell-off after US-based investment research firm Hindenburg Research claimed the group was involved in a “brazen stock manipulation and accounting fraud scheme”. It also accused the group of improperly using offshore tax havens and raised concerns about its high debt. Adani denies the short-sellers’ allegations.

APSEZ is India’s largest port developer and operator with six strategically located ports and terminals on India’s west and east coasts, accounting for 24% of the country’s total port capacity, thus providing the means to handle the high volume of cargo from both coasts Capability and hinterland. The company is also developing two transhipment ports at Vizhinjam in Kerala and Colombo in Sri Lanka.

Global rating agency Standard & Poor’s (S&P) cut its outlook on APSEZ and Adani Electricity to “negative” from “stable” on Friday. The credit profiles of both entities could deteriorate due to governance risks and funding challenges at the larger Adani Group.

On the other hand, rating agency Fitch Ratings said its rating on the Adani entity and its securities would not be immediately affected after a “short seller report” accused the group of wrongdoing.

Meanwhile, the APSEZ Board of Directors is scheduled to meet tomorrow, February 7, 2023, to consider and approve the unaudited financial results for the quarter and nine months that ended December 31, 2022.