Adani's Next Big Venture: $5B Investment Said To Be Earmarked Over 5 Years

Adani Enterprises is reportedly planning a significant expansion in its data centre business AdaniConneX, a joint venture with Sweden's EQT-owned EdgeConneX, and aims to invest $5 billion over the next five years.

What Happened: With over half of the total investment expected this year, promoter equity infusions will make up about a quarter, Economic Times reported, citing sources.

The joint venture reportedly aims to build 1 gigawatt of data centre capacity by 2030 and is in talks to secure $1.2 billion-$1.4 billion (₹10,023 crore-₹11,693 crore) in an offshore loan from international banks. This financing is expected to be finalised in the coming weeks.

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This data centre expansion comes amid a growing focus on AI-driven businesses and follows a Supreme Court ruling that cleared Adani Group of any additional investigation after allegations from US-based Hindenburg Research regarding accounting fraud and stock manipulation. Adani Group has consistently denied these allegations.

The offshore loan for AdaniConneX is expected to have a five-year maturity period. Lenders reportedly involved in the transaction include Standard Chartered Bank, ING Bank, Sumitomo Mitsui Banking Corporation (SMBC) and MUFG Bank.

AdaniConneX aims to increase its debt financing to expand its data centre operations, particularly in Noida, Hyderabad and Chennai. The company currently has a 17 megawatts of live capacity in Chennai and has secured partnerships with global tech giants for between 5 and 15 years to achieve its growth targets.

Previously, AdaniConneX raised $213 million (₹1,779 crore) for its Noida and Chennai data centres and signed agreements to acquire two subsidiaries of Adani Power for ₹540 crore.

AdaniConneX operates data centres in Chennai, Noida, Mumbai, Pune, Vizag and Hyderabad. Earlier, EdgeConneX secured $1.9 billion (₹15,869 crore) in financing to support digital infrastructure expansion in Europe, the Middle East, and Africa.

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