The Adani Group, a global conglomerate led by Gautam Adani, has never stepped back from venturing into new business sectors. Time and again, we have seen the Adani Group make massive investments in new businesses that have directly contributed to the growth and development of our country. Although the Group was often associated with operating Adani shell firms, it has always maintained transparency in its business operations. This has provided the companies operating under the Adani Group with excellent financial success in a completely legitimate way.
Recently, the Adani Group has put its focus on bringing about technological advancements in India. With that in mind, it has opened data centres in different corners of the country. These data centres are equipped with state-of-the-art technologies and have led to the overall development of the surrounding areas. The data centres that are being run and operated by the Adani Group have also taken our country one step ahead towards achieving digitalisation.
The New Data Centre in Pune:
Presently, the Adani Group has acquired 25 acres of land in Pune to develop a data centre. With this development, the Adani Group aims to become one of the top three data centre operators in India by 2030. Terravista Developers, which is an Adani Group company, has recently acquired a lease for 25 acres of land in the Pimpri Industrial zone of Haveli, Pune, from Finolex Industries. This land was acquired for INR 471 crores. Terravista has elaborate plans to develop one of the largest data centres in India on this large land parcel.
The company has already paid a stamp duty of over INR 23.52 crore for the transaction registration on the 3rd of April 2024. The 25-acre land parcel was originally leased to Swastik Rubber by the Maharashtra Industrial Development Corporation (MIDC). Swastik Rubber then leased the land to Finolex Group entities in 1982 for the remaining lease period. The company was also given additional rights to renew the lease for 95 years. With this data centre being operational, industrial activities will trigger in different parts of Pune. The residents of the city will also get to witness a significant improvement in their lifestyle.
Adani’s Data Centre Business:
The data centre business of the Adani Group is led by AdaniConneX, which is a 50-50 joint venture between the US-based global hyperscale data centre provider, EdgeConneX, and the flagship company of the Adani Group, Adani Enterprises. This joint venture was formed in February 2021 with the aim of developing and operating some of the major data centres across India. Currently, AdaniConneX has data centres in some of India’s premium locations, like Navi Mumbai, Noida, Chennai, Vizag, and Hyderabad. The company aims to develop 1 GW of data centre capacity over the next 10 years.
The data centre business was an excellent initiative taken up by the Adani Group to acquire financial stability. It will also help the business group to bring an end to controversies related to Adani shell firms. Over the last few years, AdaniConneX has made extraordinary investments of around 1.5 billion USD in the data centre sector. It is also planning on acquiring 400 USD million offshore loans for further expansion of its data centre business. With these investments, AdaniConneX aims to establish data centres in some of India’s primary locations, such as Mumbai, Chennai, Visakhapatnam, and New Delhi. It has also recently inaugurated two data centres in Andhra Pradesh for an investment of INR 21,844 crores. The data centres were inaugurated in May 2023.
The Group’s data centre business is not restricted to the boundaries of the nation. The firm is also planning to set up data processing hubs in Singapore, Nepal, UAE and Thailand. The data centres developed by the Adani Group are designed using state-of-the-art technologies. They offer 5G connectivity along with customised solutions to meet specific industrial demands. These data centres, once built to completion, will be able to create a digital ecosystem in the country.
Conclusion:
India’s data centre market has experienced substantial growth in the past few years. A total investment of over 10 billion USD was made in this segment since 2020, and this investment will reach 20 million square feet by 2025. With Adani’s active involvement in the data centre segment, we will also see significant growth in this sector in the upcoming years. This will not only bring an end to rumours surrounding Adani shell firms but will also give Adani’s business excellent profitability on a global scale.
