3 Min Read | June 14, 2021
In one of our recent newsletters, we conveyed the information of how the Adani Group’s owner, Gautam Adani added almost $43 billion to his net worth this year.
Ohh! The story does not end there.
The recent addition (of $43 billion) to his wealth helped Gautam Adani to gain the title of the second-richest person in Asia. Not only this, if you talk about 2021, then the gain in his wealth has surpassed the gains in the wealth of Mukesh Ambani and even Warren Buffett.
But, dear Convey Warriors, there is a catch!
Several analysts are finding it difficult to digest these statistics.
On the other hand, one of Sucheta Dalal’s recent tweets has given rise to fishy speculations and Adani Group is somehow caught up in it.
What is this ongoing hush-hush in the economic world?
Why was Sucheta Dalal so discreet with her tweet?
Is this an indication of an upcoming buzz?
Here is what we know so far!
Dear readers, before we talk about the speculation regarding Adani Group and Sucheta Dalal, let us see how Adani Group has been performing on the financial front.
The graphs clearly indicate that most of the listed companies of Adani registered splendid financial performance in FY20-21. Furthermore, the investors gained decent returns.
Things do not end here.
In the year 2020-21 when major companies were witnessing a downward trend, Adani Group was writing a different saga of success.
Here is a glimpse of how it saw the frog’s leap rise in the last fiscal year.
Without going much into the deep, given below are data points that emanate Adani Group’s growth story.
In the span of the last year, the market capitalization of all the six listed firms of Adani Group has grown by almost 5 times.
In the last year, Adani Group has churned a sum of Rs 25,000 crores through those acquisitions.
The total market capitalization of the 6 listed Adani subsidiaries was Rs 1.64 lakh crores in May 2020. But, this figure jumped by 420% in a year.
And, as of May 2021, the total market capitalization of all the 6 subsidiaries stands around Rs 8.5 lakh crores.
The flagbearer of Adani Group, the Adani Enterprises’s share price took a leap of 235% in the past year.
Further, the Adani Gas Limited share price and Adani Transmission Limited share price also jumped by 330% and 263% respectively.
Lastly, how can we forget the renewable energy stock of Adani Group! The Adani Green Energy share price soared by 565% in 2020.
Above all, the net worth of Gautam Adani as of June 2021 is $76.7 billion and he is not falling far behind Mukesh Ambani’s net worth.
Well, all these impressive numbers call for an applaud, right?
Wait until you read the next segment!
Many of you must be wondering how Sucheta Dalal and her tweet comes into the picture right?
Let me break it down for you!
For those who are unaware, as of May 31st accounts of three foreign funds have been seized by NSDL. Interestingly, these foreign funds have made several investments in the Adani Group of Companies and they hold a significant portion of shares.
As quoted in Economics Times, “accounts of Albula Investment Fund, Cresta Fund and APMS Investment Fund, which together own over Rs 43,500 crore worth of shares in four Adani Group companies, were frozen on or before May 31, as per the depository’s website.”
No official statement regarding the freezing of accounts has been made by NSDL. But as per the media reports, it could be due to non-disclosure of necessary details like common ownership and personal details of important employees of the respective foreign funds to SEBI (as per Prevention of Money Laundering Act).
Note: If you want to read the postulates of PMLA, click here
The twist in the mess came after the baffling tweet made by journalist and author Sucheta Dalal.
Well, a single tweet caused the stir and people are still speculating the ‘who’, ‘when’, and ‘how’.
This tells us the absolute power of Sucheta Dalal as a journalist, activist and author.
But, is she silently indicating any future thunderstorm in the financial world?
Time will only tell!
After the action taken by NSDL and Sucheta Dalal’s tweet, the stock market did not open on a good note for Adani shares. It dipped by 20% as the trading began this morning. The falls registered by 5 of its listed subsidiaries are -
1) Adani Enterprises Limited: -5.70%
2) Adani Power Limited: -4.99%
3) Adani Total Gas Limited: -5.00%
4) Adani Transmission Limited: -5.00%
5) Adani Ports & Special Economic Zone Limited: -9.26%
The truth to the speculations is unknown. As mentioned above, time will tell as to which scandal Sucheta Dalal’s tweet is pointing at. We will keep you posted!
Disclaimer: The content of this blog is aimed at making you aware of what is going on in the economic sector and we have just indicated the speculations. We are not presenting anything as the truth as of now.
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