Fitch spotlight on Adani debt, how much, how risky, reckless expansion or entrepreneurial audacity https://www.youtube.com/watch?v=EFDXD3TY2jM Aug 25, 2022
https://www.livemint.com/companies/news/fitch-arm-says-adani-group-companies-overleveraged-11661275278109.html Adani Group is deeply overleveraged and may land in a debt trap, Fitch group unit CreditSights said, as the billionaire Gautam Adani-led conglomerate borrows aggressively to invest heavily in multiple businesses, in some of which it does not have proven expertise.
According to the report, Adani Group is increasingly venturing into new and unrelated businesses, which are highly capital-intensive and raises concerns that execution oversight may spread too thin.
“We see little evidence of promoter equity capital injections into the group companies, which we feel is needed to reduce leverage in their stretched balance sheets,