Gautam Adani slips to third position on Asia’s rich list, know why

Gautam Adani
Image credits: Gautam Adani/Twitter

Billionaire Gautam Adani dropped to third place among the richest people in Asia within a few weeks of holding the second position.

The Business tycoon slipped to third spot after he lost $13 billion in four days following a sell-off in shares in the Adani group companies.

Who’s holds the top position?

The current net worth of Gautam Adani is $63.5 billion, lower than the $76.7 billion earlier this week.

Reliance Industries Ltd’s Mukesh Ambani continues to top the list. He has a net worth of whopping $84 billion, as per the Bloomberg Billionaires Index.

Gautam Adani slips to third position

China’s Zhong Shanshan ranked second after Adani slipped from this spot to third position. The Indian business mogul surpassed Zhong in April, when Adani Group’s shares had nearly doubled since January.

Adani group companies’ shares fell this week after a sell-off on Monday. This was a result of reports pointing to the freezing of the accounts of some of the major foreign investors who hold these shares.

Gautam Adani
Image credits: Gautam Adani/Twitter

The Adani Transmission Ltd, Adani Total Gas Ltd and Adani Power Ltd lost over 20% in the last five trading sessions. The Special Economic Zone Ld and Adani Green Energy Ltd lost over 10%, while Adani Enterprises Ltd lost 6.64%.

The combined market value of these companies fell from $76.7 billion to $63.5 billion this week. This drop was triggered following a news report that India’s National Securities Depository Ltd (NSDL) froze three foreign accounts of key foreign portfolio investors (FPIs). These investors had a major stake in four of the six listed Adani group firms, the report said.

Reports Of NSDL Freeze On Foreign Funds’ Account

The Albula Investment Fund, Cresta Fund and APMS Investment Fund’s accounts were frozen on or before May 31, according to the depository’s website, the media report claimed.

NSDL’s entry showed only a technical account-level freeze, the APMS Investment Fund said in a statement on Monday. Its global trading operations continue to run normally, it added.

“The subject fund is not frozen by any means and maintains full as well as normal trading operations globally,” it said.

As per a written confirmation from the registrar and transfer agent, the demat accounts of the offshore funds in which Adani shares were held “are not frozen”, Adani group said in a statement.

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