MUMBAI: The exposure of domestic banks and financial institutions to Adani group rose by 53% to Rs 1,07,985 crore by Sept 2024, up from Rs 70,213 crore in March 2024. Total debt increased by 13.6%, from Rs 2,27,248 crore in March 2023 to Rs 2,58,276 crore in Sept 2024, due to reduced borrowings from global institutions and international markets even as assets grew much faster.
As of Sept 2024, domestic banks’ share of the group’s financial debt rose to 42% from 31% in March 2023, while global institutions’ share fell slightly to 27% from 28%. Capital market borrowings decreased to 29% from 37.1% in March.
Public sector bank exposure grew 50%, from Rs 31,609 crore to Rs 47,435 crore, making up 18% of total debt. Private banks and finance companies’ share increased to 23% from 17%. The net debt increased at a slower pace than total debt. End- September, net debt stood at Rs 1.87 lakh crore up from Rs 2.05 lakh crore in March. The lower increase in net debt was due to an increase in cash balances to Rs 53,024 crore from Rs 40,351 crore as of end-March.
The group’s total assets grew following investments of Rs 75,277 crore in H1FY25, reaching Rs 5.5 lakh crore. Adani Enterprises saw assets grow in businesses like Navi Mumbai airport and solar modules where sales rose 91% to 2,380 MW. Adani Green Energy began work on a 500 MW hydro pump storage project, increasing operational capacity by 34% to 11.2 GW.
The group’s credit profile improved, with 76% of EBITDA from assets rated ‘AA-‘ or higher. Increased borrowing supported capital expenditures in renewable energy, transportation, and logistics, and expansion into new sectors like solar, wind, airports, and roads.