Rich Dudes│How Gautam Adani Became the Richest Indian with a $42.7B Net Worth

Gautam Adani's net worth of $42.7 billion makes him literally richer than some small countries. This remarkable success comes from Adani owning nearly 75% of Adani Enterprises, Adani Power, and Adani Transmission—plus majority stakes in Adani Green and Adani Ports.

Gautam Adani isn't exactly one to turn down an opportunity to swell his already impressive fortune—when the Indian stock market boomed, he jumped right in with perfect timing. 

His personal investments have been quite lucrative in the past, but he got a bit of a shock in 2023 when Adani group faced allegations of stock manipulation and accounting fraud.

Plus, Gautam Adani is a member of the very generous Adani Foundation that helps a multitude of people across 18 Indian states—2,315 villages to be exact. He's a real giver, donating to causes like education, healthcare, sustainable livelihoods, and infrastructure.

Gautam Adani net worth at a glance:

Gautam Adani's rags to riches story is one of ambition, daring, and risk. Adani was born in his home state of Gujarat. Is journey began when he dropped out of college in 1988 during his second year to become a diamond sorter—no trifling start for a businessman who eventually became the first billionaire in India.

With little family help and only 200 Indian rupees, Gautam plunged fearlessly into the business world and established the Adani Group, before trading in diamonds to make his first million—turning rough diamonds into cold, hard cash.

Making bold decisions, investing shrewdly, and diversifying into new sectors like energy, commodities, special economic zones (SEZs), agriculture, and ports led Adani to massive long-term success. He rose to a net worth of $9.3 billion in 2008 and secured his spot as not just the richest person in India or Asia, but one of the wealthiest in the world.

A true example of financial genius, Adani's journey is one that continues to motivate and inspire.

As Asia’s richest person, Adani’s personal fortune is being put to good use, investing a mammoth $70 billion into a solar, wind, and other eco-friendly energy projects as well as agricultural investments. He isn’t just a renewable energy captain though—Adani is also preparing for the present by splashing out more than $4 billion on a petrochemicals complex.

If you're wondering just how much money this man has, let us tell you: Gautam Adani has a trio of private jets, eight cars, and two very palatial residences—one in Lutyens Delhi and the other a sprawling place off SG Road in Ahmedabad referred to as Shantivan House.

Startups

Gautam Adani had a seemingly grand vision in mind when he founded Adani Group in 1988—to create the ultimate business conglomerate. Starting with commodity trading, he went on to develop massive infrastructure assets such as ports, power plants, mines, ships, and railway lines both inside and outside India.

Adani Enterprises became the largest trading house in India, importing coal with a dominant market share of 60%, and he proceeded to acquire Bunyu Mine in Indonesia for its 180 metric ton coal reserves. 

Soon after, Adani Group became India’s largest private coal mining firm as Gautam gained the mining rights for Orissa Mine in 2010 and Abbot Point Port in Australia, having a 50 metric ton handling capacity.

Adani sure was on a roll. What better way to fuel the country than with Adani Power, the largest private thermal power producer in India? This arm of the ancient Adani Group has a total power generation capacity of 12GW. The Group’s renewable energy needs are taken care of by Adani Green Energy, with a portfolio of projects devoted to developing solar and wind sources.

The Adani Group's earnings for the Q4 2022 were a bit of a roller coaster—while Adani Enterprises saw a 42% increase in revenue, Adani Power experienced a 96% dip in profits.

Adani Green Energy reported the highest revenue growth of 53.5%, but that was overshadowed by the 50% drop in Adani stocks following the release of short seller Hindenburg Research's report, resulting in over $119 billion loss in market capitalization.

Now is a great time to invest in startups despite a dip in funding levels.

Early-stage investment activity has remained robust, while venture capital funds have raised a record $238.3 billion, with U.S.-based funds alone raising $162.6 billion. This huge influx of capital is expected to be deployed in 2023, offering huge encouragement to startups.

Stocks

Gautam Adani, who is currently the 29th wealthiest person in the world with a net worth of $42.7 billion and has six stocks in his portfolio:

• Adani Ports & Special Economic Zone Ltd.
• Adani Power Ltd.
• Adani Green Energy Ltd.
• Adani Enterprises
• Adani Transmission
• Adani Tota

After the Hindenburg research report was published on January 24, 2023, Adani stocks nosedived and the daring investor saw his personal fortune take a hit, if only temporarily.

Adani Ports & SEZ continues to be his biggest investment, with his 37% ownership in the company worth $11.5 billion. His stake in Adani Power Ltd. is not far behind at 36.86% and also valued at about $11.5 billion. 

His other big investments include Adani Green Energy Ltd and Adani Enterprises, holding 24.27% and 17.86% companies and representing a value of $5.7 billion and $2.6 billion, respectively.

He's made even more headlines recently by investing in various companies such as Adani Solar, Adani Exports, and Adani Total, as well as backing the Carmichael coal mine.

Though those stakes have dropped in the light of the Hindenburg report, there is no denying that he has made a huge name for himself with his investments and businesses. Adani won the admiration (and ire) of investors around the world with his astute control of the corporate landscape.

Investing in the stock market is an attractive option for long-term investors due to its potential to generate strong returns. Despite stock market uncertainty in 2022, there are several reasons to invest now, including attractive valuations and slowing inflation.

However, there is a possibility of a recession, which could lead to further stock market declines. Investing in stocks is safe for investors with long time horizons who are sufficiently diversified.

Real estate, cars, and planes

Gautam Adani have made quite an impression on India’s infrastructure and development. With an impressive portfolio real estate investments, luxurious cars, private jets, and four helicopters, Adani is certainly a business leader who lives and rides in style.

Adani Realty alone has developed close to 15 million square feet of land and is working on another 18.8 million square feet of development in prosperous cities. Additionally, Adani is currently estimated to have invested $250 million in three properties in Delhi, Gurgaon, and Ahmedabad.

His car collection is certainly something to behold, consisting of a Range Rover LWB, a BMW 7 series, a Rolls Royce Ghost, and a Ferrari California. His grand selection of aircraft will surely spark envy in any admirer, with a Bombardier Challenger, a Bombardier 350, a Hawker, and a Beechcraft in his hangars.

Alternative investments such as real estate, infrastructure, luxury cars, and commodities offer attractive returns and less volatility than traditional investments. With a 40% share of the average millionaire’s net worth in real estate and the potential for high returns with private lending, there is no better time than now to consider indulging in alternative investments to enhance your portfolio.

1. No risk, no reward

2. Be a growth-oriented investor

3. Invest altruistically