Gautam Adani’s net worth slides, no longer Asia’s 2nd richest person

Mangalore Today News Network

New Delhi, Jun 17, 2021:  Billionaire industrialist Gautam Adani is no longer Asia’s second richest person, following a sharp decline in his net worth this week.

 

Adani’s net worth has fallen to $63 billion, down from just over $77 billion at the beginning of this week, according to global indexes that track the wealth of the world’s richest billionaires. In just four days, the 58-year-old’s has lost roughly $14 billion from his net worth.

As a result, Chinese billionaire Zhong Shanshan has reclaimed his position as Asia’s second richest man after Reliance Industries Chairman Mukesh Ambani.

After he became Asia’s second richest man, many predicted that it would take him little time to become Asia’s richest, citing the performance of his six listed companies on the stock market.

Adani’s net worth increased rapidly after the meteoric rise of his port-to-power businesses from 2020, propelling their market capitalisation. In April, the Adani Group became the third conglomerate in the country to cross a market capitalisation of $100 billion.
SUDDEN SHOCK

However, the market capitalisation of all his listed companies suffered a blow on Monday after a report claimed that the National Securities Depository Limited (NSDL) froze three FPI accounts that held major stakes in four listed firms of the conglomerate.

Soon after the report, shares of Adani Enterprises and Adani Green tumbled and the other listed firms hit the 5 per cent lower circuit. Later in the day, Adani Enterprises came out with a strong statement, rejecting the claims of NSDL freezing the foreign funds.

NSDL also came out with a statement the next day, but stocks of the group’s listed firms continued to trade weaker.

Shares of all the listed firms have been trading weaker for four consecutive sessions despite an official clarification on the FPI freeze.

Analysts say that the reason behind the high volatility in Adani stocks may be triggered by higher sell-offs that markets are witnessing at the moment. They have also advised investors to remain cautious and patient before taken any decision about new or existing investments in Adani Group firms.

Courtesy:India Today