Meteoric rise in Adani’s wealth – The New Indian Express

Express News Service

NEW DELHI: Gautam Adani’s rise among global billionaires is nothing but surreal. In just a few years, from being a regular billionaire, he has now risen to become the world’s third-richest individual, a feat that no Indian or Asian has ever achieved.

According to the Bloomberg Billionaire Index, Gautam Adani’s wealth stood at $141 billion on Friday. There has been a phenomenal growth of his wealth. Adani’s wealth was less than $10 billion when covid-19 first became a global phenomenon in March 2020.

After trailing behind Mukesh Ambani for a considerable period of time in the billionaires’ list, in February 2022, he overtook the RIL chairman and cemented his position as Asia’s richest person.
 A decade back in 2012 when Ambani’s wealth was pegged at 18.7 billion, Adani’s fortune stood at $3.1 billion, as per data provided by IIFL Wealth Hurun India Rich List. Adani, now, is $50 billion wealthier than Ambani.

It wouldn’t be surprising if the Ahmedabad-based business tycoon, whose empire stretches from power generation to FMCG, overtakes e-commerce giant Amazon chief Jeff Bezos to become the world’s second-richest person, as the gap between the two may come down to single digit as early as next week.

Adani has added $65 billion to his wealth so far in 2022, more than any other billionaire around the globe, while Bezos’ fortune has shrunken by $45.5 billion to $151 billion.Tesla and SpaceX chief Elon Musk remains the world’s richest with a net worth of $241 billion.

The meteoric rise
This meteoric rise in Gautam Adani’s wealth is attributed to the confidence investors are showing in the conglomerate’s seven listed stocks. In the past 5 years or since few listings in 2018 till date, five Adani stocks have gained anywhere between 1200% to 7992%. The pace of growth has been sharper in the past two years and in the past six months alone, the market capitalisation of his listed entities has more than doubled to over `20 lakh crore.

In all the seven listed Adani companies, the promoter shareholding is 60% or more.Equitymaster, an equity research firm, in a recent note said investors have been in a “frenzy” over Adani stocks, partly due to investors suffering from “FOMO” (fear of missing out) while others “probably think he is too big to fail now”.

However, it also cautioned that the group’s companies are trading “at valuations far higher than the industry average, indicating they are highly overpriced … even if you factor in their phenomenal growth, leadership status, or the fact the businesses are aligned” with Prime Minister Modi’s nation-building vision.

A few other analysts, in hush hush tones, also spoke about the Group’s …….