Rajiv Jain’s GQG Partners has seen a substantial return on its investment in Adani Group stocks, with its holdings growing by 150% to approximately $10 billion. This impressive gain follows GQG’s strategic purchase of stakes in various Adani companies, including Adani Enterprises, Adani Ports, Adani Green Energy, and Adani Transmission, amounting to ₹15,446 crore in March 2023.
Jain’s confidence in the Adani Group comes despite the turbulence following the Hindenburg Research report, which had accused the conglomerate of stock manipulation and accounting fraud. This report initially led to a significant drop in Adani stock prices and a massive loss in market capitalization. However, Jain saw potential where others saw risk, leveraging his belief in Gautam Adani’s leadership and the strategic importance of Adani’s infrastructure assets to India’s economy.
The investment has paid off remarkably. By May 2024, GQG’s Adani stock portfolio had surged, reflecting the market’s renewed confidence in the conglomerate following the Supreme Court panel’s clean chit on regulatory failure allegations【15†source】. This recovery was further bolstered by Adani Group’s robust operational performance and strategic moves to reduce debt and limit capital expenditure, which alleviated investor concerns.
Jain’s strategy focuses on long-term growth and infrastructure development, aligning with India’s economic trajectory. He has expressed a desire to further increase GQG’s stake in Adani companies, aiming to be one of the largest investors in the group, second only to the Adani family itself. This commitment includes participating in future fundraising activities by the Adani Group.
GQG’s initial investment included purchasing a 3.4% stake in Adani Enterprises, 4.1% in Adani Ports, 2.5% in Adani Transmission, and 3.5% in Adani Green Energy. These investments were made through secondary block trade transactions, making GQG one of the first major investors to support Adani after the Hindenburg report.
In summary, Rajiv Jain’s GQG Partners has seen its investment in Adani Group companies soar by 150%, growing from an initial $1.9 billion in March 2023 to around $10 billion. This remarkable increase is attributed to market gains and additional stakes in Adani’s firms. GQG’s initial investment came during a tumultuous period for Adani, which faced significant allegations from Hindenburg Research, leading to a substantial drop in market value. However, GQG remained undeterred, seeing potential in Adani’s infrastructure assets and planning further investments to become one of the largest stakeholders in the group within five years
