Skip to main content

Adani stops 847mn deal.

 Gautam Adani’s elec­tri­city unit is halt­ing an $847mn acquis­i­tion of a coalfired power sta­tion in India

Adani building

in a sign that his busi­ness empire is slow­ing down spend­ing fol­low­ing a short seller attack. The Adani Group did not respond to a request for com­ment. Widely regarded as an ally of Nar­en­dra Modi, India’s prime min­is­ter, Adani presen­ted him­self as the archi­tect of logist­ics net­works and power gen­er­a­tion that formed the back­bone of India’s grow­ing eco­nomy. But a retrench­ment would mark a change in strategy for Adani, 60, who built his con­glom­er­ate dur­ing a debt­fuelled expan­sion, adding rev­en­ues by buy­ing or build­ing new projects ran­ging from solar power to air­ports.

Adani Power in August agreed to buy DB Power, a com­pany that owns a prof­it­able coalfired power plant in the Indian state of Chhat­tis­garh, and its par­ent com­pany Dilii­gent Power Private. In quarterly earn­ings announce­ments last week, sev­eral Adani port­fo­lio com­pan­ies said they would be scal­ing back cap­ital expendit­ure for the fin­an­cial year start­ing in April. «We will not make new com­mit­ments until we settle this volat­il­ity period,» said Adani Group chief fin­an­cial officer Juge­shinder Singh on an ana­lyst call.

www.sba.tax

Labels:

Comments

  1. Joseph17 February 2023 at 14:03

    I wonder what happened to stop this deal. Maybe there's more than meets the eye as Adani was on a shopping spree in the last few years. Maybe they discovered something they didn't like?

    ReplyDelete
    Replies
    1. Andrew17 February 2023 at 15:57

      Or it could be because of the recent scandals they are involved in. Maybe they need to regroup and think about what they can spend money on considering the current worldwide events.

      Delete

Post a Comment

Cloud Bookkeeping

H&M struggles with profitability.

  H&M blamed high clothes prices ,  its exit from Rus­sia and a cost-cut­ting pro­gramme for an unex­pec­tedly large col­lapse in its earn­ings as the world’s second-largest fash­ion retailer’s struggles with prof­it­ab­il­ity con­tinue .  Oper­at­ing profit plunged 87 per cent to SKr820mn in the fourth quarter to the end of Novem­ber from a year earlier .  Shares in H&M fell more than 4 per cent to SKr125 . 80 yes­ter­day ,  hav­ing lost nearly half of their value since their recent peak in April 2021 .  The Swedish retailer ,  which lags behind Indi­tex ,  the Span­ish owner of Zara ,  in sales and prof­it­ab­il­ity ,  launched a SKr2bn cost-cut­ting pro­gramme last year that included 1 , 500 job losses . H&M’s sales in the fourth quarter were up 10 per cent to SKr64 . 4bn but flat in local cur­rency terms .  It said sales from Decem­ber 1 to Janu­ary 25 had increased 5 per cent in local cur­ren­cies .  «Sales in ...
2 comments
Read more

Commercial properties continue to fall

  UK commercial property values and rents are projected to «tumble off a cliff edge» in the first quarter of 2023, as estate agents warn offices will fare worst as prices fall. A survey of more than 400 commercial agents forecast a 2.9 per cent decrease in prices per square foot across the industry in the first three months of the year, with offices falling 3.1 per cent. «Where we saw the market stop still, we will see the market finding its level, people working out where things are, where value is,» he said. Listed vehicles have already seen this valuation drop in their share prices, with real estates investment trusts such as Land Securities and British Land falling by a fifth or more this year. According to the RIB estate report, offices are expected to suffer the most significant sales price falls, with nearly a third of respondents expecting them to come down by more than 5 per cent. In addition, the survey projected a 1.3 per cent fall in rents per square foot over the perio...
Post a Comment
Read more

BoE is considering to increase deposit guarantee.

  According to anonymous sources, the Bank of England is considering reforming its deposit guarantee scheme. The move comes in response to concerns that the current system may not be sufficient to protect customers in case of a bank failure. The Financial Services Compensation Scheme guarantees deposits up to £85,000 per person per institution. However, some experts have raised concerns that this may not be enough to prevent a run on banks in a significant financial crisis. As a result, the Bank of England is reportedly considering several options for reforming the scheme, including increasing protection and introducing more stringent bank regulations. A final decision on any changes will be made later this year. One option the Bank of England considers is increasing the protection offered by the deposit guarantee scheme. This could involve raising the maximum amount guaranteed per person or extending coverage to more types of deposits. Another possibility is to introduce more stri...
Post a Comment
Read more