Shares of Adani Enterprises, the flagship company of Adani Group, rallied over 1600 per cent in a year and reached a peak in December. Similarly, the shares of other companies of the group also increased at the speed of rocket. A report by Hindenburg Research last week had claimed that Adani Group’s shares rose due to excessive debt and share manipulation. It states that the Adani Group has been involved in blatant stock manipulation and account fraud for decades. However, Adani Group termed this report as a bundle of lies and called it a conspiracy against India.
who is the oldest partner
Many rich around the world have investments in Adani Group companies. But the sudden sell-off in Adani Group companies has put their investments at risk. According to a Bloomberg report, these include Malaysia’s richest man, a tycoon associated with the shipping industry and two of the world’s richest families. From data center servicing, packaged food to port management, these people have partnered with Adani Group. On the basis of these partnerships, Adani Group has expanded in many areas in recent years. It had become the largest corporate group in the country by overtaking Tata Group and Reliance Industries. In September 2022, its market cap had reached 22.25 lakh crores i.e. about $ 260 billion.
Robert Kuok, Malaysia’s richest man and living in Hong Kong, is one of Adani’s oldest partners. His company Wilmar International holds half the stake in Adani Wilmar. The market value of this company, which makes oil, sugar and other products from the Fortune brand, is $ 6.7 billion. In this company, Wilmar provides food expertise while Adani Group handles the logistics. After the Hindenburg report, Wilmar had said this week that it would continue to support the Adani Group.
Investing From Walmart To CMA CGM
Veteran retail company Walmart also has investments in Adani Group companies. Walmart is owned by the Walton family, the world’s second richest. Walmart bought India’s e-commerce company Flipkart a few years ago. In 2021, Flipkart joined hands with Adani Logistics to strengthen its supply chain infrastructure. Adani Group is building a data center in Mumbai and a part of it is to be leased to Flipkart. Then Adani Group had said that 2500 people would get employment from this partnership.
EdgeConneX, a Virginia-based data center services company, had formed a joint venture with the Adani Group to build 1 GW of data center capacity in India. Although how much investment will be made in this, it was not disclosed. Phillip Marangella, Chief Marketing Officer of EdgeConneX, says that despite Hindenburg’s allegations, the joint venture will not be affected. Similarly, CMA CGM, the world’s third largest container shipping company, had signed a deal with Adani Group in 2017 for 15 years. The deal was to operate a terminal at Mundra Port. The majority stake in CMA CGM is held by Rodolphe Saade of France and his family.
investment in israel
Adani has recently bought Israel’s second largest port Haifa. Israel’s Gadot Group is its partner in this. Similarly, Abu Dhabi’s company International Holding Co. Has invested two billion dollars in Adani Group companies. The majority stake in IHC is held by the Royal Group, a company owned by Sheikh Tahnoon. He is the National Security Advisor of the UAE and part of the world’s richest family. The IHC has expressed confidence after the Hindenburg report. Along with this, the company also invested $ 400 million in the FPO of Adani Enterprises. However, Adani Group has withdrawn this FPO and returned the money to IHC.
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