India's Adani Group, a ports-to-power conglomerate, will slow down on acquisitions this year due to the rising cost of capital globally, signaling reduced dealmaking at the company that has rapidly grown by acquiring assets.
While the group will continue to review acquisition opportunities, the high debt costs will weigh, said an Adani spokesperson. Mergers and acquisitions have slowed globally as a result of debt financing market collapses and stock market volatility, with global central banks raising rates and forcing many companies to abandon proposed acquisitions.
Adani recently completed a $2.65 billion debt-cutting program and plans to focus on existing projects for the next nine months. The cement sector will be in focus, according to the company, which added that there are plans to explore multiple greenfield opportunities.
After a short-seller's report caused a rout in Adani's market capitalization, the company has since regained investor support and repaid debt.
