Nov 22 (Reuters) - S&P Global Ratings lowered its

outlook on three Adani Group entities to negative from stable on

Friday, citing risks to funding access following a U.S.

indictment of the conglomerate's billionaire founder, Gautam

Adani, on bribery charges.

Adani and seven other people, including his nephew Sagar,

were indicted on Thursday for fraud by U.S. prosecutors for

their alleged roles in a $265 million scheme to bribe Indian

officials to secure power-supply deals.

Adani Group has said the accusations levelled by U.S.

federal prosecutors, as well as those by the U.S. Securities and

Exchange Commission in a parallel civil case, are "baseless and

denied" and that it will seek "all possible legal recourse."

The U.S. indictment could affect investor confidence in

other Adani Group entities, as the founder sits on the boards of

other companies within the group, potentially impairing their

access to funding and increasing their funding costs, S&P said

in a note.

"The group will need regular access to both equity and debt

markets given its large growth plans, in addition to its regular

refinancing. We believe domestic, as well as some international

banks and bond market investors, look at Adani entities as a

group, and could set group limits on their exposure," S&P said.

Bonds and most stocks of the Adani Group dropped for a

second session on Friday after the indictment.

(Reporting by Manvi Pant in Bengaluru; Editing by Abinaya

Vijayaraghavan)