Adani Group


Adani Group is an Indian multinational conglomerate headquartered in Ahmedabad, Gujarat. It was founded by Gautam Adani in 1988 as a commodity trading business with the flagship company Adani Enterprises Limited (previously Adani Exports Limited). Gautam Adani is the chairman. The Group's diverse businesses include energy, resources, logistics, agribusiness, real estate, financial services, defence and aerospace.[2] The group has annual revenue of over $13 billion[1] with operations at 70 locations in 50 countries.[3][4] It is India's largest port developer and operator with ten ports and terminals including Mundra Port, its largest.[5] Through a joint venture with Wilmar International in Singapore, the Group co-owns India's largest edible oil brand, Fortune.[6]

In April 2014, it added the fourth unit of 660 MW at its Tiroda Thermal Power Station, making Adani Power India's largest private power producer. In 2015, Adani was ranked India's most trusted infrastructure brand by The Brand Trust Report 2015.[7] The Group operates mines in India, Indonesia and Australia and supplies coal to Bangladesh, China, and countries in Southeast Asia. The Group handled a total cargo of 200 megatonnes (Mt) in 2018–19.[8]

The company has contributed to the economy of Bunyu, North Kalimantan, Indonesia by producing 3.9 Mt of coal in 2016–17. The Group has made the largest investment by an Indian company in Australia at the controversial Carmichael coal mine in the Galilee Basin, Queensland. It is estimated to produce coal at a peak capacity of 60 Mt per year.[citation needed] The Group is the first in India to build a high-voltage direct current (HVDC) system.[9] In January 2018, the logistics and SEZ arm of the Group, Adani Ports & SEZ Limited, added equipment and machinery to become the largest dredger fleet in India.[10]

First phase

The Adani Group commenced as a commodity trading firm in 1988 and diversified into the import and export of multi-basket commodities. With a capital of 5 lakhs, the company was established as a partnership firm with the flagship company, Adani Enterprises Limited, previously Adani Exports Limited.[11] In 1990 the Adani Group developed its own port in Mundra to provide a base for its trading operations. It began construction at Mundra in 1995. In 1998, it became the top net foreign exchange earner for India Inc.[12] The company began coal trading in 1999 followed by a joint venture in edible oil refining in 2000 with the formation of Adani Willmar.[6]

Second phase

The group's second phase started with the creation of large infrastructure assets. The company established a portfolio of ports, power plants, mines, ships and railway lines inside and outside India.

Adani handled 4 megatonnes (Mt) of cargo at Mundra in 2002, becoming the largest private port in India. Later in 2006, the company became the largest coal importer in India with 11 Mt of coal handling.[12] The company expanded its business in 2008 purchasing Bunyu Mine in Indonesia which has 180 Mt of coal reserves. In 2009 the firm began generating 330 MW of thermal power. It also built edible oil refining capacity in India of 2.2 Mt per annum.[12] Adani Enterprises became the largest trading house in India importing coal with a market share 60%. It also supplies coal to NTPC Limited, India. The Adani group became India's largest private coal mining company after Adani Enterprises won the Orissa mine rights in 2010.[13] Operations at the Port of Dahej commenced in 2011 and ts capacity subsequently grew to 20 Mt. The company also bought Galilee Basin mine in Australia with 10.4 billion tonnes (Gt) of coal reserves. It also commissioned 60 Mt of handling capacity for the coal import terminal in Mundra, making it the world's largest.[14] In addition, in the same year, the Adani group also bought Abbot Point port in Australia with 50 Mt of handling capacity. It commissioned India's largest solar power plant with a capacity 40 MW. As the firm achieved 3960 MW capacity, it became the largest private sector thermal power producer in India. In 2012 The company shifted its focus on three business clusters – resources, logistics and energy.[15]

Adani Power emerged as India's largest private power producer in 2014.[16] Adani Power's total installed capacity then stood at 9,280 MW.[17] The Mundra Port, Adani Ports and SEZ Ltd. (APSEZ), handled 100 Mt in fiscal 2013–14.[citation needed] On 16 May of the same year, Adani Ports acquired Dhamra Port on East coast of India for Rs 5,500 crore.[18] Dhamra Port was a 50:50 joint venture between Tata Steel and L&T Infrastructure Development Projects, which has now been acquired by Adani Ports. The port began operations in May 2011 and handled a total cargo of 14.3 Mt in 2013–14.[19] With the acquisition of Dhamra Port, the Group is planning to increase its capacity to over 200 Mt by 2020.[20][21]

In 2015 the Adani Group's Adani Renewable Energy Park signed a pact with the Rajasthan Government for a 50:50 joint venture to set up India's largest solar park with a capacity of 10,000 MW.[22] In November 2015, the Adani group began construction at the port in Vizhinjam, Kerala.[23]

Adani Aero Defence signed a pact with Elbit-ISTAR and Alpha Design Technologies to work in the field of Unmanned Aircraft Systems (UAS) in India in 2016. In April, Adani Enterprises Limited secured approval from the Government of Gujarat to begin work on building a solar power equipment plant. In September, Adani Green Energy (Tamil Nadu), the renewable wing of the Adani Group, began operations in Kamuthi in Ramanathapuram, Tamil Nadu with a capacity of 648 megawatts (MW) at an estimated cost of Rs. 4,550 crore. In the same month, the Adani Group inaugurated a 648 MW single-location solar power plant. It was the world's largest solar power plant at the time it was set up[24] In December, the Adani Group inaugurated a 100 MW solar power plant in Bhatinda, the largest in Punjab. The plant was built at a cost of Rs. 640 crore.

On 22 December 2017 the Adani Group acquired reliance the power arm of Reliance Infrastructure for Rs 18,800 crore.[25]