SEBI Probes Alleged Insider Trading Linked To NDTV Open Offer Case Involving Adani Group

The Securities and Exchange Board of India (SEBI) has alleged that Pranav Adani shared unpublished price-sensitive information related to the Adani Group’s open offer for NDTV with family members in August 2022.

SEBI issued show cause notices to Pranav Adani, his brothers-in-law Kunal and Nrupal Shah, and his father-in-law Dhanpal Shah. The regulator said call records showed communication among them during the UPSI period. Pranav Adani is a Director of Adani Enterprises. On August 23, 2022, JM Financial informed stock exchanges about an open offer by Vishvapradhan Commercial, along with AMG Media Networks and Adani Enterprises, to acquire up to 26% of NDTV. The offer involved 16.76 million shares at Rs 294 each, valuing the transaction at Rs 492.81 crore. SEBI said the corporate announcement made on August 23, 2022, constituted unpublished price-sensitive information and that the disclosure affected the price of NDTV shares once it became public. The regulator examined trading activity between May 2 and September 15, 2022, and alleged that Kunal Shah purchased NDTV shares during the UPSI period.