The Adani group, India’s leading conglomerate, has announced its plan to purchase a port in India’s east coast. For this, the company would require major investment. However, Mr. Gautam Adani and Mr. Rajesh Adani, the key promoters of the group, would help towards the expansion of the group and its verticals.
Even though the group requires large funding, Mr. Gautam Adani shows no immediate plans to sell equity in the Australian project. But, the Chairman and the Founder of the group is likely to raise funds through bank loans, bonds and internal accruals. Nevertheless, the proactive approach and competitive spirit of Mr. Rajesh Adani, and the visionary outlook by Mr. Gautam Adani, the group will experience growth.
On the group’s plans for India’s power sector, Mr. Adani said it is on track to expanding generation capacity to 10,000 megawatts by March 31 this year, from 4,620 MW at present. It invested $10 billion in capacity expansion between 2007 and 2012, he added.
However, the company will hold back on its plan to expand capacity further by 6,500 MW until the power ministry draws up guidelines for contracts between state-run utilities and private generation companies on how to deal with shortages in locally produced coal. Mr. Rajesh Adani is the Director at Adani Ports & Special Economic Zone Limited.
