Adani Group Set To Scale Up Its Data Centre Presence With $1.5 Billion Investment Amidst Growing Digital Demand

Adani Enterprises is set to allocate around $1.5 billion over the next three years for the expansion of its nascent data centre venture, signalling a renewed growth focus within the Indian conglomerate.

According to Jugeshinder Singh, the Chief Financial Officer, the expected annual capital investment in the data centre business, AdaniConnex Pvt., is anticipated to be around $500 million for the current year and the subsequent two years, as per a Business Standard report.

AdaniConnex Pvt. is a joint venture between Adani Enterprises and the global data centre provider EdgeConnex Inc.

In June of this year, the JV AdaniConneX successfully secured $213 million in funding, earmarked for the establishment of two data centres in India — in Chennai and Noida — with a combined capacity of 67MW.

The company has outlined plans to construct nine data centres with a collective capacity of 1 gigawatt by the year 2030 and aims to cater to the escalating demand for digital services in the nation with a population of 1.4 billion.  

AdaniConnex has only one operational data centre in Chennai so far and has completed almost two-thirds of the construction in the Noida and Hyderabad facilities, according to a recent investor presentation.

Ongoing developments also include the second phase of construction in Chennai, while the land acquisition process is underway for facilities in Hyderabad and Navi Mumbai.

The data centre unit represents one of the newer ventures for Adani Enterprises, the incubator for the group

As per an earlier Mint report, along with data centres, the flagship company which cancelled its fundraising plan in February, has plans to pump fresh investments into solar module manufacturing, green hydrogen, and Navi Mumbai Airport.