Billionaire Gautam Adani’s Adani Ports and Special Economic Zone (APSEZ) has been removed from S&P Dow Jones Indices due to the firm's ties with Myanmar's military.
The S&P Dow Jones Indices stated the company has been involved in serious human rights abuses under international law.
This has led to Adani Ports' share price falling in Indian stock market. It touched a low of Rs 704 per piece in the early trading. It was down by around 3 per cent in early trade.
Adani Ports, which is India's largest private multi-port operator, will be removed from the Dow Jones Sustainability Indices prior to the opening on Thursday, April 15, 2021.
In the statement, S&P Dow Jones Indices said, “Adani Ports and Special Economic Zone (XBOM: 532921) will be removed from the Dow Jones Sustainability Indices following a media and stakeholder analysis triggered by recent news events pointing to heightened risks to the company regarding their commercial relationship with Myanmar’s military, who are alleged to have committed serious human rights abuses under international law.”
As per reports, APSEZ is building a $290 million port in Yangon on land leased from the military-backed Myanmar Economic Corporation (MEC). The company is paying rent running in millions to MEC in return.