Gautam Adani’s billions at risk as Iran-Israel war escalates? Group CFO said this

As the Iran-Israel war continues to escalate, tension has risen for Indian billionaire Gautam Adani due to his investment in Israel’s Haifa port. On Saturday night, Iran reportedly targeted the nearby oil refinery of Haifa port in response to Tel Aviv’s attack on Iranian nuclear and other targets earlier this week. Adani Group has major investments in Israel, including Haifa Port, a defence JV with Elbit, and a semiconductor plant.

Adani Group chairman holds a 70 per cent stake in the Haifa port. He acquired it through Adani Ports in 2023 for USD 1.2 billion or Rs 10350 crore as of today. Now, amid the Israel-Iran war, shares of Adani Ports and Special Economic Zone (APSEZ) are likely to come under pressure on Monday, June 16. The Adani company currently has a market cap of Rs 3.04 lakh crore.

Group CFO on reports of damage to Haifa Port 

Group CFO at Adani Enterprises, Jugeshinder Robbie Singh, has denied reports of any damage to the cargo facility in a tweet. Earlier, sources also said that Haifa port in Israel was unharmed by the Iranian ballistic missile attack, with cargo operations progressing unhampered, PTI reported. “There are eight ships in the port now, cargo operations are normal,” a source said.

The Iranian ballistic missile attack did not inflict any damage to the port or its operations, the sources claimed. Adani Group did not immediately offer any comments on the issue. Israel government authorities could not be immediately reached for comments. Sources said the port is closely coordinating with the ministry of transport in Israel and continues to operate normally with full compliance of security and other requirements of the Israeli government.

Haifa Port in Israel

The port has approximately 700 employees. It handles different types of cargo, including containers, bulk, breakbulk, cement and general cargo. Haifa port serves as a crucial maritime hub, handling over 30 per cent of Israel’s imports. It is owned by Adani Ports, which controls a 70 per cent share. Haifa is less than 2 per cent of the volume handled by Adani Ports and SEZ and contributed about 5 per cent of the revenue. APSEZ handles a total cargo of 10.57 million tonnes.

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Iran-Israel war

Israel attacked Iran early Friday, targeting its nuclear, missile and military infrastructure. Iran later launched retaliatory strikes on Israel. The two countries traded strikes for a third day on Sunday as the Middle East region braced for a protracted conflict. Iran said Israel struck two oil refineries, raising the prospect of a broader assault on Iran’s heavily sanctioned energy industry that could affect global markets. Some Iranian missiles evaded Israeli air defences to strike buildings in the heart of the country.

(With inputs from PTI)