Are Adani Group shares about to go down?

The over-leveraged expansion proposal from the Adani Group to the Reliance group has been reported by credit research company CreditSights.

The credit research company speculates that the group's "overly ambitious debt-funded growth plans" may ultimately spiral into a gigantic

debt trap, possibly leading to a distressed position or default of one or more group companies.

The research highlights numerous significant financial issues that plague the Adani Group and have investors and market analysts across the board concerned.

A number of credit concerns have been raised by the credit report, including the group's aggressive and overly leveraged expansion into new or unrelated businesses,

environmental, social, and governance (ESG) risks, risks associated with competing with companies like Reliance Industries,

and last but not least, the scant evidence of equity capital investments by Gautam Adani and his family.