The US Securities and Exchange Commission (SEC) and the Department of Justice (DOJ) recently charged senior former AGPL officials with concealing bribery and obstructing investigations.
While the charges do not cover AGPL’s current board or employees, Fitch warned that any resulting penalties could disrupt AGPL’s funding plans and liquidity, potentially impacting Azure RG3’s ability to refinance its August 2026 bond maturity.
The agency highlighted that its rating affirmation reflects the risks already incorporated in Azure RG3’s governance profile. AGPL has pledged to strengthen corporate governance and financial disclosures, making improvements following the release of its audited FY22 financials. The company has confirmed its cooperation with the US investigation.
Separately, the fallout of the bribery case has also impacted the Adani Group, as both Moody’s and Fitch have revised the outlooks of multiple Adani entities to negative. Fitch cited heightened financial risks and ongoing investigations into Adani Green Energy board members as key concerns.
Also read: Adani Group entities see negative rating actions from Fitch post bribery charges
Adani Green Energy and AGPL have both been linked to the US FCPA charges, with allegations involving former executives and board members.
Fitch stated that it will monitor developments closely, particularly those that might weaken the financial flexibility of the affected entities.
Meanwhile, Adani Group companies extended their rally for the second day on Thursday, November 28, after Adani Green Energy Limited denied bribery allegations made by the US DOJ against Gautam Adani, Sagar Adani, and senior executive Vneet Jaain, calling them “incorrect.”
