Chapter 370 The Best Amulet
Rawdon did know about Adani's Carmichael coal project.
Adani’s investment is still very famous.
One is that the investment amount is huge, hundreds of billions of dollars, and the second is that the investment is very successful.
Such large overseas investments are usually big news.
Especially those investments that are successful or failed will become hot news.
It may also become a case study for teaching in various schools and be continuously analyzed.
Later, Adani became the richest man in India, the richest man in Asia, and the second richest man in the world. Investment in coal mines was a very important reason for this.
Nowadays, everyone believes that coal mining is a sunset industry.
Western countries are de-coaling in the name of environmental protection. For example, they are closing down power plants that use coal to generate electricity, saying that burning coal causes too much pollution.
This has led to a sharp decline in demand for coal.
The coal industry has not been doing very well in recent years.
Everyone was pessimistic, but Adani was very optimistic. He had been investing in the coal mining industry, not only domestically but also abroad.
The reason why he is so optimistic has something to do with India's domestic conditions.
India's domestic power plants mainly use thermal power, which requires a large amount of coal.
However, India's domestic coal production is limited, and it needs to import a large amount of coal from abroad every year, resulting in a huge gap.
India cannot shut down thermal power plants on a large scale like Western countries. If they do, electricity will be even more scarce.
It is precisely because of this that Adani directly goes abroad to acquire coal mines and wants to transport coal back from abroad.
Compared with domestic coal, foreign coal is not only of better quality but also cheaper.
In addition, Adani owns India's largest private port company and owns many ports that can be used to import coal.
It also has its own transport fleet.
These can greatly reduce Adani's costs and increase its market competitiveness.
It turned out that Adani's vision was accurate, and coal prices subsequently rose.
Especially the war between Russia and Europe, the Western sanctions on Russia's oil and gas, embargoes, etc., and the oil and gas pipeline was bombed, which led to a shortage of oil and natural gas in Europe.
European countries have been forced to restart coal and re-enable thermal power generation.
At this point, all the environmental protection slogans that Western countries had previously shouted are bullshit.
We even have to chop wood and make fire to keep warm, so what else can be more particular?
As a result, the demand for coal skyrocketed and the price soared.
Adani, which owns a large amount of coal resources, has seen its wealth soar as coal prices have soared.
These were great benefits for the stocks of the companies under his name, so the stock prices soared. With various linkages, Adani became the richest man.
"Is $1.5 billion not enough? Does it have to be $3 billion?" asked Rawdon.
"It's not that I have to have $3 billion," Adani replied. "$3 billion would be the best, and I have budgeted for it. If I really can't get $3 billion, then I'll need at least $2.5 billion, which is also the $1 billion gap. My investments in recent years have been quite large, and I don't have much liquidity, so I'm in a dilemma."
"Brother, are you so optimistic about the coal mining industry?" Roton asked again.
"Haha~~" Adani laughed, "People are saying that the coal industry is in a recession. Is it a sunset industry?"
"That's right, many foreign investors are not optimistic about this industry, right?" Luoton said with a smile.
"That's true. Few investment institutions are willing to invest in the coal industry," Adani said. "I don't care what foreign countries think. I just know that we in India need coal. Even if the coal produced by this Australian coal mine is not sold to foreigners, but brought back to India, I think it will be profitable."
"The problem is there is a lot of resistance from various institutions in Australia," said Rawdon.
"These are all minor problems. As long as you spend money, nothing can't be solved." Adani smiled, "Of course, this takes time and it will definitely be difficult to accomplish in the short term. I am very optimistic about the future, but those banks and other investment institutions don't believe me."
Rawdon smiled.
It's easy for Adani to say, but in fact, it's not that easy to succeed abroad.
Most of these overseas acquisitions end in failure.
Of course, if developed Western countries go overseas for acquisitions, the probability of failure will be relatively small.
Why? Because Western countries have the right to speak and the leading power, especially the United States, which has global hegemony.
They come here to acquire and invest, and other countries dare not offend them.
All of this requires the support of force and so on.
When countries like China or third world countries invest abroad and their industries are good and profitable, they will definitely be targeted by Western countries. They will then use their hegemony to put pressure on you, disrupt your acquisition, and then they will take over.
Or they take advantage of the rules of the game and set various traps in investments.
After all, these trade rules are set by the West, and within their framework, we can never beat them.
Adani later became very successful in this coal mine. In fact, in Rawdon's opinion, this was mainly due to the support of the state.
The BJP came to power and provided strong support to Adani.
Lao Xian supported Adani in the name of the country and communicated with the Australian government, which enabled the coal mine to start production smoothly.
In order to win over India and cause trouble for China, the West is still giving face to India, so India comes forward to support Adani in the name of the country, so that these overseas acquisitions and developments can go smoothly.
Otherwise, a country like China, which is already under suppression by the West, will often suffer losses even if the country intervenes.
After all, this kind of thing doesn't happen once or twice.
However, even so, the Carmichael Coal Mine will not actually start production until 2021, and coal will not be produced until all kinds of upfront investments are involved before that.
If the old immortal had not been in office, Luoton believed that the Adani project might have been delayed and the investment might have failed in the end.
"That's because they have poor vision," said Roton.
"Huh?" Adani said in surprise, "Roden, do you support my idea?"
"Yes, I think the coal industry has great potential." Luo Dun smiled, "Of course, I am not very familiar with the business, but I think that as India's economy develops, the demand for electricity will definitely increase, so the demand for coal will naturally increase."
"Haha~~ So I have been investing in the power industry. I invest in coal mines outside and bring the coal back to my power plants to generate electricity." Adani laughed, "But the power industry is not very profitable. Most of the time, I even lose money."
"Those electricity thefts?" Rawdon asked.
"Yes." Adani sighed, "This kind of thing cannot be prevented, but even if I lose money, I will continue to invest in the power industry. Do you know why?"
Roton started to think about it and soon understood Adani's thoughts.
When a businessman expands his business, he must have some sense of crisis.
Adani mainly relied on the old immortal to get all kinds of benefits. What if he lost the old immortal in the future? Maybe he could find someone else to rely on, but what if he couldn't find it?
So you have to think of all the escape routes.
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Adani's investment in electricity is actually a way to protect itself.
Electricity is too important.
As for India's current power infrastructure construction, the development is very uneven. Many places have no electricity. Even large cities often suffer from power outages and electricity shortages.
The bigger Adani's power company gets, the more influence it will have.
No matter who is in power in the future, if they want to ensure a stable supply of electricity, even within a region, they must stabilize Adani.
Otherwise, if his power plants go on strike, the angry people will give the ruling party a hard time.
The power company will be Adani's best amulet.
Therefore, the power company has to continue even if it makes a loss.
The benefits here cannot be measured by how much money you make. Even if you don't make any money, it's worth it.
Luoton briefly explained what this meant.
"Brother, you see clearly, that's it." Adani said, "No matter what, you must prepare for the worst."
Adani actually has a great sense of crisis in his heart.
After all, his wealth is brought by power. If he loses power, he will easily be targeted by others, and it is possible that his wealth will disappear overnight.
"In this way, I know some people and I can ask them to invest a little. I believe we can raise some funds," said Luoton.
"Oh? That Shencha Company?" Adani said with a smile.
"Yes, just an investment. I want some shares, but I won't ask you to participate in the management or anything like that." Roton said with a smile.
"Haha~~" Adani laughed heartily, "That's great, I will definitely give you the most favorable terms."
Adani certainly knew the relationship between Nashen Tea Company and Luoton.
But it's enough for everyone to know about this kind of thing.
This is Luoton supporting himself.
Adani really needs investment now, after all, there is a funding gap.
We have already found all the people we could find, and it is extremely difficult to fill the gap of more than one billion US dollars.
"However, my investment is limited, so you have to figure out the other gaps yourself," said Roton.
He thought he could invest one or two hundred million dollars.
Shencha Company is very profitable, with super high profits.
There's no way, no man doesn't like this thing.
Coupled with various publicity, such as linking it to some parts of Indian mythology, Indians are very receptive to it.
Of course, if there is a little more, Roton can also take it out.
He not only has the funds from the Shencha Company, but also the treasures that were previously allocated to him from the temple.
Of course, it is not easy to cash in these treasures, but if you really want to, it is still possible.
Adani's coal mining industry, especially the Carmichael coal mine project, now has the opportunity to invest in it. Why would Rawdon hesitate? Investing in it is not only to make money, but also to better tie himself to Adani.
Friendship is necessary, but the binding of interests can make this relationship more stable.
After all, the People's Party will continue to be in power for a long time. As for the relationship between Adani and Lao Xian, as long as the relationship between himself and Adani is handled well, many things on Lao Xian's side will be easy to handle.
"Of course, it's great that you can help." Adani breathed a sigh of relief, "If there is still a gap, I will try my best to find a way to get it."
The support from Roton was like timely help to him.
Because the current Rodon does not represent just him, but also some high-caste wealthy forces headed by the Mishra family.
In Adani's view, with Roton's influence, he could at least get families like Mishra to invest as well.
In this way, he could solve many of his funding gaps.
He can then look for investors for the remaining funds, and the pressure will be much less.
Adani attaches great importance to the Carmichael coal mine project and must continue to invest in it.
Otherwise, if you give up now, won’t the initial investment be wasted?
(End of this chapter)