New Delhi, Nov 28 Abu Dhabi's International Holding Company (IHC) on Thursday said its outlook on investments in the Adani Group remains unchanged despite the US indictment of some of the conglomerate officials.
In a statement, IHC which is one of the largest sovereign funds that manages assets worth $100 billion, said their “partnership with the Adani Group reflects our confidence in their contributions to the green energy and sustainability sectors”.
“As with all our investments, our team continues to evaluate relevant information and developments. At this time, our outlook on these investments remains unchanged,” the IHC added.
In April 2022, the sovereign fund invested nearly $500 million each in the renewables arm Adani Green Energy and power company Adani Transmission and a further $1 billion in the group's flagship Adani Enterprises.
The Sri Lanka Ports Authority has also expressed its ongoing confidence in its partnership with the Adani Group, as it plays a vital role in expanding the country's port infrastructure. With a $1 billion investment in the Colombo terminal, the project is poised to be the largest foreign direct investment in Sri Lanka's port sector.
The Tanzanian government also reaffirmed its commitment to its agreements with Adani Ports, saying “There are no concerns regarding the ongoing projects and that all contracts fully comply with Tanzanian law”.
Meanwhile, top investors on Thursday doubled down on Adani Group stocks.
GQG Partners said that “we do not see these actions as having a material impact on these businesses”.
“These businesses operate critical infrastructure regulated by the Indian government. In most cases, these are services with long-term contractual revenues. We believe the fundamentals of the companies we are invested in remain sound,” it added.
Madhusudan Kela said that he is a “big believer in the man, Gautam Adani and the capabilities of him and the Group”.
“They have built a very strong set of businesses, which are not easy to replicate. For all of these reasons, I am invested in the stocks of the group and I have bought more in the recent correction. These (US DoJ) kinds of events will happen, but I don't see the reason for this kind of panic in the stock prices. As they came through in Hindenburg, they will get through this saga much stronger," said Kela.
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