Adani Group firms’ valuation increases by 88% in 6 months

NEW DELHI: Adani Group companies have become a favourite among investors on the back of rapid expansion in new businesses, aggressive acquisitions and its ability to win big contracts. According to a report released on Wednesday, the Ahmedabad-based group companies (between October 30 2021-April 30 2022) increased their value by 88.1%, as against an increase of just 2% by the top 500 companies in the six month period.

“The nine companies in the Adani Group have a combined value of Rs 17.6 lakh crore and constitute 7.6% of the total value of 500 top companies...Adani Group Companies made the maximum gain during the review period and surpassed all others by a huge margin. In just six months, Adani Green moved up the ranking – from 16th to 6th spot,” according to Axis Bank’s Burgundy Private and Hurun India 500 – Special Report.

Adani Green gained 139% (Rs 2,62,238 crore) and reached a value of Rs 4,50,874 crore during the period. Adani Power reported a growth of 157.8% (Rs 66,185 crore), while Adani Wilmar grew by 189.8% (Rs 66,427 crore) during the period. By absolute value, the biggest gainers were Adani Green Energy, Reliance Industries and Adani Total Gas.

With a valuation of Rs 18.9 lakh crore, Mukesh Ambani’s Reliance Industries is India’s most valuable company, followed by Tata Consultancy Services (TCS) with Rs 12.9 lakh crore and HDFC Bank with Rs 7.7 lakh crore. During the six month period, the value of Reliance Industries increased by 13.4%, or Rs 2.2 lakh crore while the total value of TCS declined marginally by 0.9% and HDFC Bank declined by 15.2%.

The total value of the top 10 companies in India remains flat at Rs 71.8 lakh crore ($940bn), equivalent to 37% of India’s GDP and 31% of the total value of the Burgundy Private Hurun India 500. Six of these firms are headquartered in Mumbai.