Over the coming years, the Adani Group intends to invest Rs. 12,400 crore in Telangana.
The investments will be made in a variety of industries, including defense, IT, and energy.
In order to do this, the Telangana government and the Adani Group signed four memoranda of understanding (MoUs) during the World Economic Forum in Davos.
Gautam Adani, head of the Adani Group, and Revanth Reddy, the chief minister of Telangana, also attended.
The group’s flagship company, Adani Enterprises, has committed to investing 50 billion rupees to build a 100 megawatt data center as part of the investment.
Agreements were also signed with Adani Defense Systems and Technologies, Ambuja Cements, and Adani Green Energy to establish projects in the state.
The billionaire Gautam Adani-owned company had been considering infrastructure expansion and had started to seek money ahead of a critical report by US short-seller Hindenburg Research in January of last year.
The revelation caused the Adani Group to lose $150 billion in market value and exposed it to more regulatory attention. It also negatively impacted the company’s funding efforts, forcing it to postpone a $2.5 billion share sale.
However, the company has since gained the support of investors and bankers, and the losses on its seven major equities have been reduced to roughly $47 billion.
Investments in data centers, cement, aircraft, and green energy
Adani Green Energy plans to invest Rs. 5,000 crore in two 1,350 MW hydroelectric projects.
Additionally, AdaniConneX plans to spend Rs. 5,000 crore at Chandanvelly for a 100 MW data center campus. This facility will use renewable energy to run.
Ambuja Cements plans to invest Rs. 1,400 crores in a six metric ton annual capacity cement grinding mill.
Adani Aerospace and Defense plans to invest Rs. 1,000 crores to establish counter-drone and missile facilities.
Investments are expected to produce about 5,600 employment.
The Telangana government and Adani Group have an agreement that states that at least 5,600 jobs will be created as a direct and indirect consequence of these investments.
There will be 4,000 jobs in the cement grinding business and 1,000 jobs in the defense investment.
The data center will collaborate closely with nearby MSMEs and startups, necessitating a pool of globally capable suppliers for the project. It’s anticipated that this will create 600 more jobs.
