According to the Bloomberg Billionaires Index, Gautam Adani the founder of the Adani Group and Mukesh Ambani, the chairman of Reliance Industries have left the exclusive $100 billion club. This comes as both Adani and Ambani have had difficulties that have impacted both their personal status and their businesses.
Investors have been concerned about debt, and Ambani’s retail and energy sectors have underperformed. In July, around the time the Ambanis staged the $600-million wedding of Anant Ambani and Radhika Merchant, Ambani’s fortune reached a height of around $120.8 billion according to Bloomberg.
According to the newspaper, the wealthiest man in the nation is counting on the strategy change to concentrate more on digital platforms, retail brands and renewable energy to fuel the conglomerate’s expansion. However, the retail industry has seen a slowdown in both sales and earnings growth.
Adani has been involved in regulatory problems in the meantime. A US Department of Justice investigation that accused the corporation of potential bribery has shocked the empire. The managing director of AGEL, Vneet S. Jaain, his nephew and executive director Sagar Adani and Gautam Adani were accused of deceiving US investors and participating in a bribery conspiracy to get contracts for Indian power delivery.
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After Hindenburg Research accused the conglomerate of financial misconduct, this is the second major setback to the company that has been working to restore investor confidence.
Adani, whose wealth reached a height of $122.3 billion in June has pledged to battle on and dispute all of the accusations. After the Hindenburg attack, he had strengthened his finances. But later on the US accusations caused him to suffer yet another setback.
Adani Group equities also saw significant selling pressure following the US authorities accusations. And Reliance shares have fallen 3.43 percent in 2024 thus far compared to an 11.93 percent increase in the benchmark BSE Sensex.
