{"id":9306,"date":"2024-12-11T12:53:29","date_gmt":"2024-12-11T07:53:29","guid":{"rendered":"https:\/\/www.asiafreepress.com\/?p=9306"},"modified":"2024-12-11T12:53:39","modified_gmt":"2024-12-11T07:53:39","slug":"adani-group-pulls-out-of-us-loan-deal-for-port-in-sri-lankas-colombo","status":"publish","type":"post","link":"https:\/\/www.asiafreepress.com\/en\/business\/adani-group-pulls-out-of-us-loan-deal-for-port-in-sri-lankas-colombo\/","title":{"rendered":"Adani Group pulls out of US loan deal for port in Sri Lanka\u2019s Colombo"},"content":{"rendered":"

India\u2019s Adani Group has withdrawn its request for a US government-backed loan to construct a port in Sri Lanka<\/a> seen as a counter to a rival Chinese project, according to company filings.<\/p>\n\n\n\n

The move comes weeks after a bombshell indictment<\/a> in New York accused the conglomerate\u2019s billionaire founder Gautam Adani of deliberately misleading international investors as part of a bribery scheme.<\/p>\n\n\n\n

Subsidiary Adani Ports and Special Economic Zone Ltd said in a Tuesday statement that it was pulling its request for a loan of $553 million from the United States International Development Finance Corporation (DFC) to build the deep-sea Colombo West International Terminal.<\/p>\n\n\n\n

It said the project was \u201cprogressing well and is on track for commissioning by early next year\u201d.<\/p>\n\n\n\n

\u201cThe project will be financed through the company\u2019s internal accruals and capital management plan,\u201d the company added.<\/p>\n\n\n\n

The port has an estimated cost of $700m and is located next to a similar Chinese-run facility.<\/p>\n\n\n\n

The loan agreement with DFC was finalised last year, with the project seen at the time as a means of countering Beijing\u2019s rising influence in the Indian Ocean.<\/p>\n\n\n\n

Sri Lanka sits astride the world\u2019s busiest shipping route, which links the Middle East and East Asia, giving its maritime assets strategic importance.<\/p>\n\n\n\n

India and the United States have previously also expressed concerns<\/a> that Beijing could get a military<\/a> advantage with its foothold<\/a> at Sri Lanka\u2019s Hambantota port.<\/p>\n\n\n\n

After the November indictment against Adani, Sri Lanka opened an investigation<\/a> into the conglomerate\u2019s local projects, including the port and a $442m wind power deal.<\/p>\n\n\n\n

Adani Group has said that it had lost almost $55 billion<\/a> in a stock market rout since the indictment, in which US prosecutors accused its founder and other senior officials of bribing Indian government officials.<\/p>\n\n\n\n

With a business empire spanning coal, airports, cement and media, Adani Group has weathered previous corporate fraud allegations and suffered a similar stock rout last year.<\/p>\n\n\n\n

The conglomerate saw $150bn wiped<\/a> from its market value<\/a> in 2023 after a report by short-seller Hindenburg Research accused<\/a> it of \u201cbrazen\u201d corporate fraud.<\/p>","protected":false},"excerpt":{"rendered":"

India\u2019s Adani Group has withdrawn its request for a US government-backed loan to construct a port in Sri Lanka seen as a counter to a rival Chinese project, according to company filings. The move comes weeks after a bombshell indictment in New York accused the conglomerate\u2019s billionaire founder Gautam Adani of deliberately misleading international investors as part of a […]<\/p>","protected":false},"author":10,"featured_media":9307,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[80,3,396],"tags":[],"class_list":["post-9306","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-asia","category-business","category-latest"],"_links":{"self":[{"href":"https:\/\/www.asiafreepress.com\/en\/wp-json\/wp\/v2\/posts\/9306"}],"collection":[{"href":"https:\/\/www.asiafreepress.com\/en\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.asiafreepress.com\/en\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.asiafreepress.com\/en\/wp-json\/wp\/v2\/users\/10"}],"replies":[{"embeddable":true,"href":"https:\/\/www.asiafreepress.com\/en\/wp-json\/wp\/v2\/comments?post=9306"}],"version-history":[{"count":0,"href":"https:\/\/www.asiafreepress.com\/en\/wp-json\/wp\/v2\/posts\/9306\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.asiafreepress.com\/en\/wp-json\/wp\/v2\/media\/9307"}],"wp:attachment":[{"href":"https:\/\/www.asiafreepress.com\/en\/wp-json\/wp\/v2\/media?parent=9306"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.asiafreepress.com\/en\/wp-json\/wp\/v2\/categories?post=9306"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.asiafreepress.com\/en\/wp-json\/wp\/v2\/tags?post=9306"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}