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India's National Stock Exchange to add Adani Enterprises to benchmark index

Published 09/01/2022, 02:01 PM
Updated 09/01/2022, 05:06 PM
© Reuters. FILE PHOTO: A security guard walks past the logo of the National Stock Exchange (NSE) inside its building in Mumbai, India, May 28, 2019. REUTERS/Francis Mascarenhas

NEW DELHI (Reuters) - India's National Stock Exchange (NSE) will add Adani Enterprises, the flagship company of Indian coal-to-edible-oils conglomerate Adani Group, to its benchmark Nifty 50 index effective Sept. 30, the NSE said on Thursday.

To make room for Adani, Shree Cement will be removed from the index, the NSE said, adding the changes are part of its periodic review.

Adani Group, controlled by Asia's richest person Gautam Adani, has several publicly listed companies in sectors including airports and ports, power generation and transmission as well as coal and gas trading.

© Reuters. FILE PHOTO: The logo of the Adani Group is seen on the facade of one of its buildings on the outskirts of Ahmedabad, India, April 13, 2021. REUTERS/Amit Dave/File Photo

Adani Enterprises' inclusion comes at a time when the group company is "deeply overleveraged" and its many investments in capital-intensive businesses could pose long-term risks to investors, Fitch Group's debt research unit CreditSights said last month.

The group has also been on an acquisition spree in recent months across sectors including renewable energy, power, cement and media, with the latest being its bid to buy a controlling stake in Indian news network NDTV.

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