Adani Green Energy shares took a nosedive on Friday, erasing early gains to drop nearly 6% from the day’s high. The sudden plunge came after reports emerged that Sri Lanka had revoked a $440 million wind power project deal with the company. The stock opened strong at ₹1,039.45 on the BSE, riding on the momentum of its solid Q3 FY25 earnings. Adani Green’s revenue grew 2.33% YoY to ₹2,365 crore, while its PAT skyrocketed 85% YoY to ₹474 crore. Buoyed by these results, the stock climbed 4% to hit ₹1,065.45 intraday. However, sentiment quickly soured as news broke about the alleged project cancellation, pulling the stock down to ₹1,008—a 5.6% dip from its peak. The controversy revolves around a 484 MW wind power project in Mannar and Pooneryn, initially awarded to Adani Green Energy SL Ltd. Sri Lanka’s Cabinet, led by President Anura Kumara Dissanayake, reportedly decided to cancel the deal, fulfilling an election promise to invite international tenders for renewable energy projects. This reverses the prior approval granted under former President Ranil Wickremesinghe. Adani Group, however, swiftly denied the reports, labeling them “false and misleading.” A spokesperson clarified that the project has not been scrapped but is undergoing a standard tariff review by Sri Lanka’s new government.