Mumbai, Sept 5- The empire controlled by Asia’s richest man sought to refute a report that said its finances had become stretched by claiming that its companies have decreased their debt loads.
The Indian conglomerate said that the leverage ratios of its companies “remain to be healthy and are in line with industry norms” using numbers that were different from those provided by CreditSights in the study published last month.”
“The businesses consistently reduced their levies, “the conglomerate claimed, with the net debt to Ebitda ratio falling to 3.2 times from 7.6 times over the previous nine years.
The empire created by billionaire Gautam Adani was described as “seriously overleveraged” by CreditSights, a Fitch Group subsidiary, on Monday as a result of an expansion that “pressed its credit metrics and cash flows.”
The 60-year-old Adani has invested the last five years in growing his coal-to-ports conglomerate by foraying into a variety of industries, including data centres, cement, media, and alumina. The group today controls the largest private-sector coal miner, city-gas distributor, and operator of ports and airports in India.
Adani also promised to invest $70 billion in renewable energy, making it the largest producer in the world.
In the report released on Monday, Adani Enterprises was noted as having an Ebitda to gross interest ratio of 1.98. A number of 1.6 was provided by CreditSights.