Burgundy Private Hurun India 500 - Special Report

Press Release

• 15-06-2022

Axis Bank’s Burgundy Private and Hurun India launch an update to the list of 500 most valuable private companies in India, launched in December 2021

This is a six-month (from October 30, 2021- April 30, 2022) update of the 2021 Burgundy Private Hurun India 500, the list of 500 most valuable non-state-owned companies in India in India. The 2021 Burgundy Private Hurun India 500 list was released on December 9, 2021.

Key Highlights: -

* Value creation: The value of the top 500 companies in India increased marginally by 2% to INR 232 lakh crore from INR 221 lakh crore as on October 30,2021.

*Burgundy Private Hurun India 500 companies performed better than SENSEX, NASDAQ, and other indices during the period. SENSEX reported a drop of 4% during October 30,2022-April 30,2022, while NASDAQ declined by 17% during the same time.

* Big 3: With a value of INR 18.9 lakh crore, Reliance Industries is India’s most valuable company, followed by Tata Consultancy Services (TCS) with INR 12.9 lakh crore and HDFC Bank with INR 7.7 lakh crore.

*During the six month period, the value of Reliance Industries increased by 13.4%, or INR 2.2 lakh crore. While the total value of TCS declined marginally by 0.9% and HDFC Bank declined by 15.2%.

* Total value of 219 companies declined during the review period. Ten companies remained flat and 36 dropped out from the list.

* The total value of the top 10 companies remains flat at INR 71.8 lakh crore (US$940bn), equivalent to 37% of India’s GDP and 31% of the total value of the  Burgundy Private Hurun India 500-Special Report. Six are headquartered in Mumbai.

*Adani Group Companies made the maximum gain during the review period and surpassed all others by a huge margin. In just six months Adani Green moved up the ranking –from 16th to 6th spot.

*Adani Green gained 139% (INR 2,62,238 crore) and reached a value of INR 4,50,874 crore. Adani Power reported a growth of 157.8% (INR 66,185 crore), while Adani Wilmar grew by 189.8% (INR 66,427 crore) during the period.

*The nine companies in the Adani Group have a combined value of INR 17.6 lakh crore and constitute 7.6% of the total value of 500 top companies. The Adani Group companies in the review period increased their value by 88.1%, as against an increase of just 2% by the top 500 companies.

*By absolute value, the biggest gainers were Adani Green Energy, Reliance Industries and Adani Total Gas.

*Value of four listed Unicorn’s- Nykaa, Zomato, Paytm and Policybazaar declined by INR 1,61,007 crore during the review period.

*National Stock Exchange of India is the most valuable unlisted company in India growing by 35.6% to INR 2,28,100 crore.

*Nine companies grew by more than 100%. Vedant Fashions tops the list with a growth of 313.9% and is followed by Adani Wilmar (189%) and BillDesk (172.9%).

*Conglomerate Patanjali Ayurved of Baba Ramdev reported a decline of 17.9% (INR 5,000 crore) to INR 23,000 crore and also slipped in ranking by 36 to 184th spot.

*Financial Services and Healthcare were the biggest contributors to the Burgundy Private Hurun India 500-Special Report with 81 and 55 companies respectively. The Top 5 industries made up nearly half the Burgundy Private Hurun India 500-Special Report.

Axis Bank’s Burgundy Private and Hurun India launch the list of 500 most valuable private companies in India

June 15, 2022, Mumbai: Burgundy Private, Axis Bank’s Private Banking Business and Hurun India launched the ‘Burgundy Private Hurun India 500-Special Report’, a list of the 500 most valuable non-state-owned companies in India. This updated special list tracks changes in the value of the top 500 Indian companies during the six-month period (from October 30, 2021- April 30, 2022) after the first list was released. The 2021 Burgundy Private Hurun India 500 list was released on December 9, 2021. It is a list of the 500 most valuable non-state-owned companies in India, ranked according to their value, defined as market capitalization for listed companies, and valuations for non-listed companies. The cut-off date used for the special report is April 30, 2022.

To make it to the ‘Burgundy Private Hurun India 500-Special Report’ , companies required a value of INR 5,800 crores, equivalent to US$760mn.

The period saw dramatic global events like the Russia-Ukraine war (24 February 2022) and the interest rate hike (March 16, 2022) by the USA Federal Reserve. Meanwhile in the domestic market during the six month review period, Tata Group acquired a 100% stake in Air India from the Indian Government through its subsidiary Talace Private Ltd (8 October 2021), India achieved the milestone of administering one billion Covid-19 vaccine doses (21 October 2021) and after the historic IPO, the shares of Paytm crashed 27% on the first day of trading (18 November 2021). It is among the biggest listing day loss in the history of the Indian Stock market.

The total value of the top 500 companies in India increased marginally by 2% to INR 233 lakh crore from INR 221 lakh crore as of October 30,2021. And despite the inflationary concerns, war, and rate hikes, the companies in the ‘Burgundy Private Hurun India 500-Special Report’ performed better than SENSEX and other global indices.

Apurva Sahijwani, EVP and Head – Burgundy Private, Axis Bank said:

“In the first half of CY23, the 2021 Burgundy Private Hurun India 500 companies faced formidable head winds of rising oil and commodity prices as a consequence of the Russia-Ukraine conflict and an interest rate reversal cycle. It is noteworthy that despite the many challenges faced, Indian companies have performed better than their global counterparts. We look forward to seeing the rankings in the next edition of the Burgundy Private Hurun India 500, should there be difficult persisting macro conditions.”

Anas Rahman Junaid MD and Chief Researcher, Hurun India said:

“Despite two major events like the Russia-Ukraine war and the interest rate hike by the USA Federal Reserve, companies in the Burgundy Private Hurun India 500 - Special Report gained 2% during the six months. NASDAQ declined 16% during the review period, while HANG SENG dropped by 19%. SENSEX reported only a 4% decline. Indian companies have weathered the storm and performed better than their global peers. It shows the inherent strength and depth of the Indian economy. Hurun India is delighted to partner with Burgundy Private, Axis Bank’s Private Banking Business to release the Burgundy Private Hurun India 500 - Special Report, which tracks the changes in the value of the top 500 Indian companies during the last six months.”

“Value is perhaps the best way to measure a company’s performance, since value takes into account not just the current performance of a company but also its future potential. These companies represent the biggest opportunity for tax revenues, quality employment and industry leadership,” he said.

“The stories of these companies tell the story of the modern Indian economy”, Anas added.

The Burgundy Private Hurun India 500 come from 15 states, led by Maharashtra, Karnataka and Tamil Nadu followed by Haryana, Gujarat, and Delhi. By city, Mumbai led with 159 companies, followed by Bengaluru with 59, Gurugram with 38 and Chennai with 36.

Interestingly, value of four listed Unicorn’s- Nykaa, Zomato, Paytm and Policybazaar -declined by INR 1,61,007 crore during the review period. Paytm was the worst performer having lost 63% (INR 63,666 crore) to touch a value of INR 37,724 crore.

Only listed Unicorn Delhivery performed well during the period and gained 65% (INR 14,495 crore) to touch a value of INR 37,095 crore.

Hurun is closely tracking the performance of tech companies like Paytm where valuations have gone down sharply. “We have not benchmarked and made corrections to the value of the unlisted tech companies in the current list. However, we are actively considering devaluing some companies in the next list if the macro concerns get prolonged,” Anas concluded.

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