The Group which is led by Asia's richest person Gautam Adani, is looking to expand its presence in power generation and infrastructure and ventured into cement-making operations earlier this year.
In September, Adani said that the group will invest more than $100 billion over the next decade, most of it in the energy transition business.
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CreditSights said the conglomerate is venturing into new or unrelated businesses which are highly capital intensive. It has plans for four business verticals including energy and utility, transport and logistics, materials metals and mining, and consumer, said CreditSights.
"We still hold our view that several of the Group companies maintain elevated leverage owing to aggressive expansion plans, that are largely debt-funded and that have pressurized their credit metrics and cash flows," said the report dated November 4, which was shared with news agency Reuters on Monday.
The research firm, part of the Fitch Group, said it remained "concerned" over the Group's leverage.
"We expect its expansion and acquisition appetite to remain robust ahead, and incremental debt on account of expansion to outpace additional EBITDA generation, which could result in further credit profile deterioration," said CreditSights.
Adani Group did not immediately respond to a Reuters request for comment.
The combined market capitalisation of the group’s listed companies is $260 billion, growing exponentially in recent years.
CreditSights added that the group continues to seek strategic equity partners that are aligned with its long-term investment strategy, such as sovereign wealth funds, and also maintains strong relationships with existing partners.
(With inputs from Reuters)
