If anybody looking at India as a proxy to invest, they cannot miss Adani Group: Deven Choksey

You have been tracking AGMs for a really long time. What do you make of the speech?

AGMs talk about the larger vision of the company – that is more important. In case of Adani Group AGM too, I think, Gautam Adani has very categorically mentioned each and every area which basically means business for the group as well as also as a country. He has talked extensively about green energy. He has alluded by saying that they are probably going to be the largest player in this particular space – that is one thing which came out very clearly.

No doubt about either the solar-based energy or green hydrogen-based energy which the company will be producing within the group is being talked about. Similarly, I think, the talk is also on the consumer facing businesses like airports and Wilmar and that is once again basically suggesting that they are fully geared up for tapping the B2C segment of the business which is basically driven by the larger space of brands that one has created so that is again being talked about.

And the industrial segment of the business continues with the acquisition of cement businesses that they have done from Holcim Group and that is where probably the larger part of the story could be unfolding given the strength of India’s infrastructure story.

So all in all, I think the group is basically purely focussed on infrastructure that is one thing very easily understood and if anybody looking at India as a proxy to invest I think they cannot miss Adani Group probably from an investment perspective because I think they give an easy access to India infrastructure story for not now, but for the rest of the 10-15 years where probably these companies are seen growing very systematically in each of the verticals which they have created.

If you had to pick one particular stock or one particular area that you are the most bullish on when it comes to the next leg of growth coming in from the Adani Group what would that be, would that be green energy because Mr Adani was sounding quite confident about that?

Green energy definitely would mean a big amount of growth coming in because I think it could have a large amount of fuel to be pledged and that is where probably one could possibly see a significantly large amount of growth coming for sure, undoubtedly.

However, it is a few years away from now. It is still a work in progress as I see it, but if one has to look at the companies either in B2B and B2C segments systematically then probably one cannot miss out the port story. The port is one which is a real infrastructure that they have already created.

In my viewpoint I think connecting the east to west in the country and reaching out from one end to another end through the inland transportation as well as for providing access to India from the global perspective by creating ports at every different location my viewpoint would be that I think with 500 million tonnes of capacity handling that they have created already through acquisition and organic growth both, I would think that this could be possibly one silver lining in the group’s asset portfolio because port as a business generates significantly large amount of cash and that could possibly be an important story to follow.

Within the B2C segment, the Wilmar story looks extremely promising because within Wilmar they are basically now focussing more on the food products after of course focussing on the edible oil segment. So certainly I think this segment could possibly grow over the next 10 years’ time in a very systematic manner. So these two portfolios; one is the B2B segment, second would be the B2C segment both of them are appealing to me most and so the verticals are definitely good like transmission are very appealing proposition because of the larger amount of EBITDA that it produces. Green, similarly, I think, remains a very interesting proposition.