American Insurance Companies Increase Investments In Adani Group

A recent article in The Washington Post claimed that the Indian government encouraged the Life Insurance Corporation of India (LIC) to make large investments in Adani Group companies. The report created significant public debate. However, recent data shows that the major investments in Gautam Adani’s companies are mainly from American and other international insurance firms, not LIC.

In May, LIC invested around $570 million (₹5,000 crore) in Adani Ports and SEZ. A month later, the American company Athene Insurance invested ₹6,650 crore ($750 million) in Adani’s Mumbai International Airport. Following this, several global insurance companies also made investments in Adani Group firms.

Details of Recent International Investments

Apollo Global Management, Athene Insurance's parent company, on June 23 confirmed that its affiliates, funds, and other long-term investors had successfully made a $750 million investment in Mumbai International Airport Limited (MIAL). Apollo provided the second large loan to MIAL.
Adani Green Energy also raised $250 million from a group of international lenders. These included DBS Bank, DZ Bank, Rabo Bank, and Bank Sinopec Co. Ltd.
In the first half year, Adani Ports, Adani Green Energy, Adani Enterprises, and Adani Energy Solutions pledged to raise more than $10 billion of debt funding under agreements after an August report by S&P Global Ratings.

LIC's Reaction to the Scandal

The war of words followed after The Washington Post indicated Indian government officials had a say in LIC's investments in Adani Group. LIC responded by refuting such allegations that all its investments were made as per its board-approved policies.

LIC put figures reflecting its investment in top Indian firms: