Adani Energy Solutions issued a statement on Saturday clarifying that the cancellation of a $736 million transmission line project by Kenya did not necessitate any regulatory disclosure under Indian stock exchange rules. The company emphasized that the decision was part of its “ordinary course of business.”
The clarification came after the Bombay Stock Exchange (BSE) and the National Stock Exchange (NSE) sought a response following a Reuters report that Kenya’s president, William Ruto, had ordered the cancellation of the 30-year public-private partnership (PPP) agreement. Adani Energy Solutions assured investors that the decision would not have any material impact on its operations.
“Further, the Company hereby submits that there is no material impact of the media report on the operations of the Company,” the statement read.
In addition to the transmission line cancellation, President Ruto also announced on Thursday that he had terminated a separate procurement process that would have awarded control of Kenya’s primary airport, Jomo Kenyatta International Airport, to India’s Adani Group. The planned $2 billion deal, which was still under negotiation, would have seen the Adani Group build a second runway and upgrade the airport’s passenger terminal in exchange for a 30-year lease.
Adani Energy Solutions, however, clarified that it was not involved in any way with the airport deal. “The company nor any of its subsidiaries have entered into any contract in connection with any airport in Kenya,” it stated in response to media reports.
This announcement follows recent legal challenges faced by the Adani Group. On Wednesday, U.S. authorities indicted Adani Group founder Gautam Adani and seven others on charges of paying $265 million in bribes to Indian officials. The Adani Group has denied these allegations.
Despite the setbacks, Adani Energy Solutions maintained that its operations remain unaffected, and the company continues to operate as usual, with no significant impact from the reported changes in Kenya’s infrastructure plans.
