GAUTAM ADANI'S INFRA BET PAYS OFF

Adani Group chairman balances core sector investment and deleveraging following the Hindenburg meltdown.

- P.B.JAYAKUMAR

GAUTAM ADANI WEALTH: ₹10,40,212 crore

INDIA’S SECOND RICHEST

Gautam Adani is a risk-taker who bets money on large core infrastructure projects to unlock value when the companies achieve scale.

Most of those bets have been paying off despite controversies and the subsequent rise, fall and rise in the group’s market value. The infra business, comprising Adani Power, Adani Green Energy, Adani Total Gas, Adani Energy Solutions and Adani Ports & SEZ (APSEZ), clocked an EBITDA of ₹65,725 crore at the end of June 2024, an 83% growth from ₹44,779 crore in June 2023, while emerging infra businesses under Adani Enterprises, including solar and wind equipment making, airports, and roads, contributed an EBITDA of ₹2,991 crore, up 70% during the same period.

The group is already India’s largest thermal power and renewable energy maker, largest port and logistics operator. It is also the secondlargest cement maker and handles one-fourth of air passenger traffic and 30% plus air cargo traffic from its seven airports. Gautam Adani’s wealth nearly doubled to ₹10,40,212 crore in the last one year, at a time when the group was going through one of its most challenging times.

WHAT CLICKED

• Steady revenues and cash flow from core infra companies.

• Emerging businesses such as airports, wind turbines, and solar equipment-making are starting to generate large revenues.

The Controversy

A report from U.S-based short seller Hindenburg Research on January 25, 2023 alleging improper use of tax havens and stock manipulation pulled the group’s market capitalisation down 56%, from ₹19.18 lakh crore to ₹10 lakh crore within 10 days. Flagship firm Adani Enterprises (AEL) had to call off a ₹20,000 crore follow-on public offer.