The Adani group’s 10-year honeymoon is overThe compulsions of a coalition government and an invigorated opposition spell the end of political tailwinds for a conglomerate that’s tanked up on debt plus risk in the hope of breakneck growth.
Tuesday’s election results set off a tsunami that saw the so-called “Modi stocks”—comprising Adani group, infrastructure and public sector companies—taking a battering.
The recovery later on Wednesday notwithstanding, the message is clear: it is the end of business as usual.
While it appears that there will be a National Democratic Alliance government and that Narendra Modi will head it, the realities a Modi 3.0 government will face are starkly different.
For starters, it will have to lean on allies with a fickle track record and hard bargaining skills, creating a constant overhang.
The Adani group’s 10-year honeymoon is over
The compulsions of a coalition government and an invigorated opposition spell the end of political tailwinds for a conglomerate that’s tanked up on debt plus risk in the hope of breakneck growth.
Tuesday’s election results set off a tsunami that saw the so-called “Modi stocks”—comprising Adani group, infrastructure and public sector companies—taking a battering. The recovery later on Wednesday notwithstanding, the message is clear: it is the end of business as usual.
While it appears that there will be a National Democratic Alliance government and that Narendra Modi will head it, the realities a Modi 3.0 government will face are starkly different. For starters, it will have to lean on allies with a fickle track record and hard bargaining skills, creating a constant overhang. Then, we cannot completely disregard the possibility of …
