IPL Controversy

M-Cap surge under NDA

SBI Loan For Oz Project

Land issues

Relationship With PM

Difference between NDA And UPA

Ease of doing business

Retrospective taxation

Group philosophy

New vision statement

First-generation entrepreneur and chairman of the $10-billion Adani group is clearly the man of the moment in industry circles and power corridors alike given his perceived proximity to Prime Minister Narendra Modi . While that's something to flash around for most, the 53-year-old billionaire businessman, with interests in resources, energy, logistics, edible oil, agri-business and real estate, is clearly uncomfortable with the spotlight.Talks of his group companies becoming a darling of the markets, to billion-dollar loans being quickly made available for his project in Australia and being part of all-CEO delegations of the PM abroad, have become commonplace. More recently, he has been dragged in the controversy surrounding Lalit Modi . All this because he is close to the Prime Minister.Counted among the most influential industrialists from Gujarat, he has also grown in stature nationally since. Several industrialists now stop by at his office or his palatial home in a tony precinct of Ahmedabad to understand the nuances of the politico-business environment. But for Adani, who dreams of creating a mammoth $100-billion enterprise by 2025 with investments of Rs 1 lakh crore in the next five to seven years, such talks are a distraction.Clearing the air, an embarrassed Adani says there is a false propaganda that he is part of all Modi delegations. "Since becoming the PM, Mr Modi has travelled to 18 countries. As a part of the CEO delegation accompanying him, I have travelled to just 4 - Japan, USA, Australia, and Europe."As for the latest controversy surrounding his name being dragged into the Lalit Modi episode, he says he put in a bid for a team from Gujarat as he loved the game. "But then having seen the controversies emerge, I had chosen to withdraw and keep myself out of any involvement with IPL. There was never a need to discuss the bid with Mr Narendra Modi or Mr Lalit Modi and so the question of meeting them to discuss the topic just does not arise."In an over three-hour conversation in the company's headquarters in Ahmedabad, he also dismissed talks that his company's higher valuations now were because of the "Modi connection". "During the UPA regime (2004 to 2014), our market cap grew from Rs 882 crore to Rs 40,473 crore, a 4,500% increase. In the first year of the NDA government (2014-2015), at a time when the stock market indexes have been touching all-time highs, the market cap of our companies increased by 65%, driven by a combination of factors related to performance, restructuring and expectations from the India growth story," he says, taking us through a chart.As for the furore over a $1-billion loan by the State Bank of India for his Australia project, Adani questions as to why vested interests could create so much debate around a straightforward MoU."SBI has been the lead banker for us since our inception. When we acquired the Abbot Point port in Australia in 2009 (under the UPA), SBI underwrote the entire $2 billion of borrowing. The project is focused on enhancing the energy security of our country."The media-shy magnate also takes pains to take us through another set of charts which suggest that his businesses are spread over 15 states, most of which are not ruled by the BJP. Describing the much-debated issue of land allotment to the group for a song, he said it was a malicious campaign. "Land approvals for our projects in Maharashtra and Rajasthan came during the Congress rule. For the Mundra port, three different Gujarat chief ministers from non-BJP parties have allotted the land."So, how does he describe his decade-old relationship with the Prime Minister? "It is a professional relationship built over many years. I have always admired his vision, decisive leadership and focus on governance." He goes on to add that he sees no reason why industrialists should not seek appointments to meet the Prime Minister or other senior government leaders to discuss issues. It's another thing that such meetings have become rare at South Block now.Adani says the difference between the previous regime and the current government is mostly about implementation. "Broadly speaking, there is similarity when it comes to the policies of the UPA as well as the NDA. The difference I see is the remarkable focus on urgency, governance and execution by the present government."He believes the business environment of the country has changed for the better. "This is evident from the significant interest overseas investors are showing in India. We have all seen how effectively the government has handled the issues around spectrum and coal block allocations. It is because of the very high expectations that some may feel the government has not done enough over the past year. However, we must be supportive and show patience." Reflecting on delays in clearances, he reasons, it's not always possible for the leader to map everything down the line.Shielding the Modi government from the opposition claim of it being too industry friendly, he says this government is industry friendly but has ensured focus on governance and transparency. "The reality is that businesses will now have to adapt to a new environment. With openness and liberalization, the need for governance will go up. Otherwise, you end up with crony capitalism."Adani is, however, critical of the government over issues of retrospective taxation, especially related to MAT. "It is my personal view that any government decision that has a retrospective impact creates uncertainty and dilutes investor confidence. It is best to refrain from such steps except in the rarest of cases."Right-wing voicesHe also doesn't approve of the right wing Hindutva rants. "Listen to what Mr Arun Jaitley says. One can't expect the PM to clarify every single time some leader expresses a personal opinion or makes a controversial statement."Born in a Gujarati Jain family of textile traders and having grown up in the modest Ratanpole area of Ahmedabad with his seven siblings, Adani attributes much of his success to the group's ability to realign itself with the government's priorities. Be it development of infrastructure and power, which was the group's focus so far, and now renewable energy and defence, the current government's emphasis. Given the government's focus on the 'Make in India' initiative, he says the group is now looking to enter the defence sector and is in discussions with various foreign partners with strong capabilities.The group is in the midst of redrawing a new vision statement for the year 2025 as most of the targets it had fixed in 2012 for the year 2020 seem within reach. "Based on where we stand today, we will achieve our goal of handling 200 million metric tonne of cargo at our ports during this year itself. Regarding power, we are already at a generation capacity of over 11,000 MW and with our next phase of investments progressing well, we are comfortably placed to be able to achieve our goal of 20,000 MW of power generation and 200 million tonne of coal by the year 2020."Does the target of a turnover of $100 billion by 2025 sound audacious? Adani says even his previous targets were described in a similar way by sceptics when he drew up a gameplan to expand from Rs 3,300 crore to over Rs 60,000 crore. One person's audacious risk is quite literally another's bread and butter, or so it would seem for this self-made billionaire.It's the immense capacity of bearing risk which has catapulted this first-generation entrepreneur, who started off in the early 1980s as a college drop-out, experimenting with several businesses including diamond trade. From a grey Bajaj scooter to Maruti 800, and now a bevy of BMWs and a Ferrari, his rise has been spectacular. Despite owning a fleet of three helicopters, three Bombardiers and a Beechcraft plane now, he continues to be rooted and is proud of his humble past.Cut to the present - he is already the biggest power producer, port operator and coal handler in the Indian private sector and is hungry for more.The Ahmedabad-based group is also betting heavily in all its businesses, including the newer ones like defence and solar. "We expect to make capital investments exceeding Rs 1 lakh crore (about $16 billion) over the next 5-7 years. These investments will be split between expansion of our existing businesses and new initiatives, including solar and defence."