According to a presentation the conglomerate provided to investors, the Adani group has about USD 2 billion in foreign-currency debts that are due for repayment in 2024. This is due to the business’s primarily debt-fueled fast development, which saw gross debt double in four years.
From July 2015 and 2022, the corporation borrowed roughly USD 10 billion from group companies in foreign currency bonds. 1.15 billion dollars’ worth of bonds with maturities in 2020 and 2022. There are no maturities in 2023, but three issuances totaling USD 650 million from the ports arm APSEZ and USD 750 million and USD 500 million from the renewable energy company Adani Green Energy Ltd come due in 2024. To convince investors that the company’s finances are in order, Adani group executives, including group chief financial officer Jugeshinder Singh, attended roadshows in Singapore and Hong Kong last month.
From March 7 to March 15, these will be expanded to Dubai, London, and the US. Investors were informed by executives that they would use cash flow from operations and maybe sell private placement notes to deal with approaching debt maturities. According to the presentation given to investors last month, the total debt of the Adani group would increase from Rs. 1.11 lakh crore in 2019 to Rs. 2.21 lakh crore in 2023. The net debt in 2023, including cash, was Rs 1.89 lakh crore. In 2025, no foreign currency bonds will mature.
Since Hindenburg published a report accusing the company of stock manipulation and other scams in late January, Adani Group is suffering. The market worth of the organization funded by Gautam Adani was destroyed by more than Rs12 lakh crore as a result. All 10 of the Adani stocks were in utter disarray, plunging to new lows, freezing at lower circuits, and wiping off billions of dollars in value.
Presently, the Supreme Court has urged Sebi to look into Adani Group to see whether there have been any claims of stock manipulation or other wrongdoings and to provide safeguards for investors.