Indian conglomerate Adani Group stated that the cancellation of two major projects in Kenya will not have a “material impact” on its operations. The company made the announcement after Kenya’s President William Ruto ordered the termination of a $736 million transmission line project and halted a procurement process tied to the management of the country’s main airport.
In a statement on Saturday, Adani Energy Solutions clarified that the canceled transmission line project fell within its “ordinary course of business” and did not require regulatory disclosure under Indian stock exchange rules. The response followed a query from the Bombay Stock Exchange and the National Stock Exchange after reports by Reuters about the project cancellations.
“The company hereby submits that there is no material impact of the media report on the operations of the company,” Adani Energy Solutions said.
President Ruto announced on Thursday that he had instructed the cancellation of a public-private partnership expected to grant Adani Group a 30-year lease to manage and upgrade Jomo Kenyatta International Airport. The plan, valued at nearly $2 billion, included constructing a second runway and modernizing the passenger terminal.
Adani Energy Solutions denied involvement in the airport deal, stating, “The company nor any of its subsidiaries have entered into any contract in connection with any airport in Kenya.”
Separately, the Adani Group has come under scrutiny after US authorities indicted founder Gautam Adani and seven others for allegedly paying $265 million in bribes to Indian officials. The group has denied these allegations.
The developments come amid increased scrutiny of Adani Group’s global projects and financial practices. Despite the setbacks in Kenya, the company maintains that its core operations remain unaffected.