India’s richest race: Gautam Adani inches closer to Mukesh Ambani

Gautam Adani, who recently lost his title as India’s wealthiest person, is swiftly making a comeback in the race to reclaim the top spot. All thanks to a surge in his stocks, he has remarkably added $18.8 billion to his wealth in just the past two weeks, narrowing the gap with Mukesh Ambani, whose current fortune stands at $92.3 billion.

Adani's personal wealth is closely tied to the performance of his nine publicly listed companies. Following setbacks related to the Hindenburg saga, his wealth took a hit. However, with most of those issues subsiding, his fortune is steadily approaching that of the Reliance Industries chief.

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Presently, Gautam Adani's total wealth sits at $85.3 billion, as per the Bloomberg Billionaires Index. Both Indian tycoons are in close pursuit of each other not just within India but also globally, with Ambani holding the 13th rank and Adani trailing closely at 14th among the richest individuals worldwide.

Remarkable Progress in a Short Span: Adani recently re-entered the elite Bloomberg top 20 billionaire list and is swiftly climbing the ranks. Starting at the 19th position on November 29, he ascended to the 14th spot by December 13, marking a significant rise within a mere two weeks.

The Indian stock markets have been riding a bullish trend, bolstered by several positive developments such as the ruling national party BJP securing victories in three states and the central bank revising its FY24 GDP growth rate projection to 7%. Adani group stocks emerged as top gainers during this period, contributing substantially to Adani’s soaring wealth.

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An Impressive Surge: Between November 29 and December 13, Adani's wealth surged from $66.7 billion to $85.3 billion, a staggering increase of $18.8 billion. Meanwhile, Ambani's wealth rose from $89.5 billion to $92.3 billion, an increase of $2.8 billion during the same period.

The Impact of the Hindenburg Controversy: Once ranked as the world’s third richest person, Adani's current wealth is significantly below its peak before the US research firm Hindenburg accused his group of stock manipulation and accounting fraud. He faced a substantial decline, losing over 60% of his wealth by the end of March following the report's release in late January.

Recent Developments Aiding the Resurgence: Besides the broader market upswing, Adani Group stocks witnessed a rally due to other favorable developments related to the conglomerate. The Supreme Court's dismissal of the credibility of the Hindenburg and OCCRP reports, along with the US-agency DFC labeling Hindenburg Research's allegations as 'irrelevant,' further bolstered the resurgence of Adani’s group stocks.