Adani Group Chairman Gautam Adani and Telangana Chief Minister A. Revanth Reddy met at the World Economic Forum in Davos. The outcome of this summit is a groundbreaking investment commitment of Rs 12,400 crore by the Adani Group across various sectors in the state, that is led by the Congress party.
In October 2023, Congress leader Rahul Gandhi accused the Adani Group of profiting Rs 32,000 crore at the expense of the Indian public, intensifying the party's critique. Gandhi has consistently targeted the Adani Group for 'crony capitalism,' making it a focal point in his election campaigns against the Modi government.
Around the time of Rahul Gandhi's Bharat Nyay Yatra, the second leg of his India tour, an Adani Group team led by Gautam Adani's son, Karan, met with Telangana CM A Revanth Reddy. The Chief Minister's Office stated that the CM had invited the Adani Group to invest in the Congress-ruled state. Minister of IT and Industries D Sridhar Babu and Adani Aero Space CEO Ashish Rajvanshi were present at the meeting, where discussions unfolded regarding potential areas of investment.
Diverse Investment Plans Unveiled
Adani Green Energy is set to revolutionize Telangana's energy landscape with a whopping Rs 5,000 crore investment in two pumped storage projects, boasting a combined capacity of 1350 MW.
AdaniConneX Data Centers is slated to invest a substantial Rs 5,000 crores in Chandanvelly for a cutting-edge Data Center campus, featuring a total capacity of 100 MW. This move aligns with the growing demand for robust data infrastructure.
Ambuja Cements, under the Adani Group, will infuse Rs 1,400 crore into a new Cement Grinding unit, with a capacity of 6.0 MTPA, signaling a strategic move to revitalize the cement industry in the state.
Adani Aerospace and Defence will invest Rs 1,000 crore in Counter Drone Systems and Missile Development and Manufacturing Centres at the Adani Aerospace and Defence Park, underscoring the conglomerate's commitment to enhancing the nation's defence capabilities.
Optimism on Telangana's Investor-Friendly Environment
Gautam Adani expressed confidence in Telangana's new government, highlighting its investor-friendly approach. He emphasized that with the planned policies, Telangana is poised to attract more investments, and the Adani Group will continue its rapid growth in the state.
The Adani Group is positioning Hyderabad as a key hub for manufacturing missiles and unmanned vehicles. Initial plans included an additional investment of Rs 1,500 crore over the next two to three years, with a focus on producing long-range missiles, naval missiles, next-generation anti-radiation missiles, and Rudram-2 hypersonic missiles.
Adani Group's CEO of Defence and Aerospace, Ashish Rajvanshi, said the group's participation in the MAKE-2 program for the Indian Navy, emphasizing the development of unmanned ground vehicles to alleviate infantry stress.
Recent Technological Unveiling and Ongoing Projects
Indian Navy chief Admiral R Hari Kumar recently unveiled the Drishti 10 Starliner Unmanned Aerial Vehicle, manufactured by Adani Defence and Aerospace at the Aerospace Park in Hyderabad. The UAV is set to be inducted into naval maritime operations, with a flight from Hyderabad to Porbandar.
Earlier this month, Adani Group engaged in discussions with the Telangana government to set up a data centre and aerospace park in the state. Representatives, led by CEO of Adani Ports and SEZs Karan Adani and CEO of Defence and Aerospace Ashish Rajvanshi, met with CM Reddy, who assured government support for amenities, infrastructure, and subsidies to promote industrial growth and create employment opportunities.
Adani Enterprises' Share Performance
At 1 PM on Wednesday, shares of Adani Enterprises were trading at Rs 2,991.50, experiencing a 2.15% decline. This reflects the dynamic nature of the investment landscape and potential implications for Adani Group's ventures in Telangana.
In a separate development, US Secretary of State Antony Blinken, speaking at the World Economic Forum Annual Meeting 2024, lauded India as an "extraordinary success story." He highlighted the beneficial impact of Prime Minister Narendra Modi's policies and programs on the Indian populace. Blinken emphasized the excellent relations between US President Joe Biden and PM Modi, covering all aspects, including US-India relations.
Meanwhile, Congress stalwart P Chidambaram appeared to be visibly uncomfortable with a media query on the Adani Group's proposed investment in Telangana. At a press conference on the party's Lok Sabha polls manifesto on Wednesday, Chidambaram deflected the question on this while colleague Supriya Shrinate, who refused to comment.