Bloomberg: Oaktree Capital Among Funds Scooping Up Adani Bonds

Some investors are buying bonds related to Indian conglomerate Adani Group. Hedge funds and distressed debt specialists have are looking to capitalize on falling prices in the aftermath of a scathing short-seller report. Annabelle Droulers reports on Bloomberg Television.

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Transcript

What are we hearing when it comes to the debt side yeah Heidi it seems like a little bit of opportunistic buying is going on from some of the biggest hedge funds distressed debt specialists in the industry that’s what we’re being told by Bloomberg sources here so among the

Names that are coming out well oak tree is one of them unsurprising given it is the world’s largest opportunistic debt firm but then the others that are also played Davidson Kempner Capital Management is another name that we’re hearing as well now it is not clear whether these companies or firms already

Had adani debt prior to the Hindenburg research report that came at the end of January but we are told that the trading here is active and there are of course a lot of opportunities in this space in Goldman Sachs highlighted them as well if you bring up the terminal chart that

Looks at the moves we’re seeing in bomb prices for instance there are some notes in the adani group that are trading well above that typical level we see for Junk debt of around eight percent a Goldman Sachs is one of them saying that these prices have hit a floor here in the

Short term and so bonds are looking pretty attractive well it does seem that some investors are now heating that you can see there what they see for a done green energy for instance the ordering around 24 percent and this of course coming after adani also said it’s going to be pre-paying

Some of its loans and so that also was a bid to help improve its leverage ratio so so very positive for investors I guess are there any stocks also react positively then yeah we saw this particularly in adani Enterprises yesterday in the session in Mumbai which is the flagship for adani

Group and that stock actually Rose as much as 25 it paired some of those losses to close about 15 high but still you can see those games there pretty pretty big for that company and really as it is the flagship helping to to lower those losses that we’re seeing on

The market caps are now around the 115 billion dollar Mark but in terms of what else is helping that optimism well that’s really also coming through and the earnings that are out because it is a big week for adani companies have got at least eight eight that are reporting

So ambusha cements is one of them they just reported a profit beat and then also a Danny Green energy which is the clean energy arm in adani it has said that it’s won the the backing of investors in recent days it also did post a profit beat in the last quarter

More than doubling at their income to 1.03 billion rupees Sherry

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