Richest Asian Gautam Adani’s group to invest $150 billion across businesses ranging from green energy to data centers to airports and healthcare as it chases the dream to join the elite global club of companies with $1 trillion valuations.
In recent times, Adani group’s Chief Financial Officer Jugeshinder ‘Robbie’ Singh disclosed the detailed growth plans of the group, which started as a merchant in 1988 and developed rapidly into ports, airports, roads, power, renewable energy, power transmission, gas distribution, and FMCG and more recently into data centers, airports, petrochemicals, cement, and media, at an investor meet organized by Ventura Securities Ltd in New Delhi.
Further plans:
Moreover, the group plans to invest $50-70 billion in green hydrogen business and another $23 billion in green energy over the next 5-10 years, they said. It will sponsor $7 billion in electricity transmission, $12 billion in transport utility, and $5 billion in the road sector.
Its incursion into the data center industry with cloud services would entail an investment of $6.5 billion in collaboration with Edge ConneX and another $9-10 billion is designed for airports, where it is already the largest private operator. Its foray into the cement sector with the acquisition of ACC and Ambuja cement entailed a $10 billion investment.
Finally, the healthcare sector foray that will include insurance, hospitals, and diagnostic and pharma would see an investment of $7-10 billion, with some coming from Adani Foundation.
“Whatever you see today, it might look like it has just occurred in the last 1 or 2 years, but in reality what we have done, both GSA (Gautam Shantilal Adani) and myself discussed this in 2015,” Singh said at the investor meeting adding the conglomerate is a result of a well-thought-out business plan that entailed foraying into adjacencies of existing business.
The market capitalization of Adani Group was around $16 billion in 2015 and, it has climbed up to $260 billion in 2022 – an expansion of over 16x in seven years.
Lastly, there are only a few enterprises that value of trillion dollars or more. These include Apple, Saudi Aramco, Microsoft, Google’s parent Alphabet, and Amazon. The Adani Group has set about building its infrastructure and logistics portfolio in a way that it could emerge as the top five globally and not just India’s largest player.
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