Adani Group Companies: There is news of relief for Adani group companies. CreditSights, a unit of rating agency Fitch Group, which had said that the Adani Group companies were in a debt trap, has acknowledged the flaws in its report. That there was an error in his calculations regarding the companies of the Adani group. The research firm has said that it has spoken to the finance and other executives of Adani Group and has corrected the figures of Adani Power and Adani Transmission.
Creditsites has improved the report!
Creditsites has said that the company does not have a lot of debt and the company’s expansion plan has not been funded entirely through debt. The report states that the company has announced several deals this year. For Adani Transmission, Creditsites has improved its debt and interest, tax, tax before income or EBITDA income (EBITDA) from Rs 42 billion to Rs 52 billion. At the same time, the total debt for Adani Power has been reduced from Rs 582 billion to Rs 489 billion. However, Creditsites said that these reforms are not going to have any impact on investment suggestions.
Adani Group Cleanup!
Earlier, the Adani Group had dismissed the report of being heavily indebted. Adani Group has said that its net debt to operating profit ratio has improved and it has repaid more than half of the loans taken from public sector banks. The Adani Group said that in the financial year 2015-16, the proportion of loans taken from public banks in the total debt of its companies stood at 55 percent. Which has come down to just 21 percent of the total debt in 2021-22. In the financial year 2015-16, the share of loans taken from private banks used to be 31 percent in the total loan, which has now come down to 11 percent. However, the share of debt raised through bonds has increased from 14 per cent to 50 per cent during this period.
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