Gautam Adani has reclaimed the title of the richest person in Asia following a rise in the stock prices of his conglomerate's listed companies. This development has helped him surpass Mukesh Ambani, head of Reliance Industries.
Adani, with a net worth of £87.4 billion, is now ranked the 11th richest in the world, ahead of Ambani, whose £85.8 billion wealth places him at No. 12, according to the Bloomberg Billionaires Index.
Shares of Adani Group companies surged on Friday by up to 14 per cent after US brokerage Jefferies issued a positive outlook on the group. The group is planning £70.9 billion in capital expenditure over the next decade. The increase in market value added £66.2 billion, bringing the market capitalization of 10 Adani group listed firms to £13.8 trillion at the close of trading on Friday. This helped Adani, a first-generation entrepreneur, surpass Ambani, who is currently on a cruise in Europe for his youngest son Anant's pre-wedding celebration.
In 2022, Adani became Asia's richest man after his personal wealth increased despite a slowing global economy. However, in January 2023, his conglomerate faced a critical report from short-seller Hindenburg Research, which alleged fraud and caused the group's stock prices to drop by £118.1 billion. Adani fell out of the world's top 20 billionaires, and Ambani reclaimed the top spot in Asia.
The Adani group denied all allegations and implemented a comeback strategy focused on reducing debt, lowering founder share pledges, and consolidating core businesses. This strategy led to record earnings for the fiscal year ending March 31.
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Adani has now overtaken Ambani once again after nearly five months. Earlier in January, Adani had briefly overtaken Ambani but soon after lost the top spot. So far in 2024, Adani's net worth has increased by £21.1 billion, while Ambani's wealth has risen by £10 billion, according to the Bloomberg Billionaires Index.
A college dropout, Adani began his career in the diamond industry before joining his brother's plastics factory. He founded his own company in 1988, starting with an import-export operation in commodities and gradually expanding. His wealth grew significantly over the last decade, rising from £3.9 billion in 2014 to £95.3 billion at the end of 2022. He briefly became the world's second-richest person in September 2022.
Last week, in the annual reports of the group companies, Adani expressed optimism about the future, stating, "The road ahead is paved with extraordinary possibilities, and I can promise you that the Adani Group today is stronger than it has ever been."
(PTI)
