IIFL Wealth Hurun India Rich List 2020 – Key Highlights

HURUN INDIA FINDS 828 INDIVIDUALS WITH INR 1,000 CR, UP THREE-FOLD AS COMPARED TO 5 YRS AGO

MUKESH AMBANI GAINS INR 90 CR PER HOUR SINCE THE “MARCH LOCKDOWN”; AMBANI’S WEALTH INCREASED BY INR 2,77,700 CR TO INR 6,58,400 CR AND RETAINS THE RICHEST INDIAN TITLE FOR THE 9^TH YEAR RUNNING

179 DOLLAR BILLIONAIRES, UP 3 TIMES SINCE HURUN INDIA STARTED IN 2013

627 INCREASED THEIR WEALTH, OF WHICH 162 NEW FACES; 76% OF NEW FACES ARE SELF-MADE

229 SAW THEIR WEALTH GO DOWN. 75 DROPOUTS. 6 PASSED AWAY

SELF-MADE INDIAN ENTREPRENEURS IN THE LIST ARE ON THE UP AT 64%, FROM 54% OF THE LIST 5 YEARS AGO; 90% BUSINESSES IN THE LIST ARE FAMILY RUN, INDICATING THE SUCCESS OF FAMILY RUN ENTREPRENEURSHIP IN INDIA.

WITH A WEALTH OF INR 32,400 CR, SMITA V CRISHNA, 69, IS THE RICHEST WOMAN IN THE LIST. AND WITH A WEALTH OF INR 31,600 CR AND INCREASE OF 71%, KIRAN MAZUMDAR SHAW, 67, IS THE RICHEST SELF-MADE WOMAN AND IS WITHIN ARM’S REACH OF BECOMING THE RICHEST WOMAN IN THE COUNTRY

21, OF WHOM 17 ARE SELF-MADE, UNDER THE AGE OF 40

WITH 217 INDIVIDUALS MUMBAI TOPS THE LIST FOLLOWED BY NEW DELHI (128) AND BENGALURU (67); NEW DELHI HAS LOST 5 RICH LISTERS, MUMBAI GAINS 41 AND CHENNAI OVERTOOK KOLKATA

11 PROFESSIONAL MANAGERS MADE IT TO THE LIST. WITH INR 11,300 CR, THE RICHEST IS THOMAS KURIAN, 60, WHO ENCASHED HIS STAKE IN ORACLE; WITH INR 3,200 CR, IGNATIUS NAVIL NORONHA, 45, OF AVENUE SUPERMARTS IS THE RICHEST CEO BASED IN INDIA

BACKED BY THE BULL RUN OF GOOGLE SHARES, SUNDAR PICHAI, 48, REGISTERED A 79% INCREASE IN WEALTH OF INR 5,900 CR

FOUNDERS OF B2B MARKETPLACE UDAAN GAINED 274% IN WEALTH, ON THE BACK OF A NEW ROUND OF FUNDRAISING, AND ARE THE BIGGEST GAINERS, FOLLOWED BY CHIGURUPATI KRISHNA PRASAD, 65, OF PHARMA MAJOR GRANULES INDIA, WHO GAINED 218%

FOUNDERS OF 11 UNICORNS MADE IT INTO IIFL WEALTH HURUN INDIA RICH LIST 2020

19 SAW WEALTH DOUBLE, OF WHOM 6 FROM PHARMACEUTICALS AND 3 FROM RETAIL. PHARMA ADDED 27 NEW ENTRANTS AND 122 TOTAL ENTRANTS NETTING A CUMULATIVE WEALTH OF INR 2 LAKH CR

BACKED BY A 51% INCREASE IN D-MART’S SHARE PRICE, RADHAKISHAN DAMANI, 65, STORMS INTO TOP 10 WITH INR 87,200 CR

BACKED BY STELLAR IPO OF HAPPIEST MINDS, THE FOUNDER ASHOK SOOTA, 77, WITH A WEALTH OF INR 3,700 CR, DEBUTS THE LIST. ROUTE MOBILE’S IPO LAUNCHED SANDIPKUMAR GUPTA, 46, AND RAJDIPKUMAR GUPTA, 45, WITH A WEALTH OF INR 2000 CR EACH

TOP 5 FAMILIES HOLD 21% OF THE CUMULATIVE WEALTH OF IIFL WEALTH HURUN INDIA RICH LIST 2020

WITH 91 LAKH FOLLOWERS IN TWITTER, RATAN TATA IS THE MOST FOLLOWED ENTREPRENEUR FROM THE IIFL WEALTH HURUN INDIA RICH LIST ON INDIAN SOCIAL MEDIA, FOLLOWED BY ANAND MAHINDRA WHO HAS 81 LAKH FOLLOWERS

STAR SIGNS: RICH LIST ENTRANTS BORN UNDER THE ARIES STAR SIGN HAD A GOOD YEAR AND REGISTERED A 55% INCREASE IN CUMULATIVE WEALTH, FOLLOWED BY THOSE BORN UNDER SCORPIO AT 52%.

WORLD’S LARGEST RICH LIST PROVIDER HURUN LAUNCHES 9^TH EDITION OF HURUN INDIA RICH LIST TOGETHER WITH IIFL WEALTH

IIFL WEALTH and HURUN INDIA release IIFL Wealth Hurun India Rich List 2020

(29 September 2020, Mumbai) Hurun India and IIFL Wealth today released the IIFL Wealth Hurun India Rich List 2020. This is the 9^th annual ranking of the richest individuals in India. Wealth calculations are a snapshot of 31^st August 2020.

828 individuals across 111 cities have been identified in IIFL Wealth Hurun India Rich List 2020. Cumulative wealth for this year increased by 20% compared to that of last year while average wealth increase by 9%. 674 individuals saw their wealth increase or stay the same – that is 81% of the list.

Speaking at the launch, Yatin Shah, Co-Founder, IIFL Wealth & Asset Management said, “The IIFL Wealth Hurun India Rich List 2020, is a testament to our belief in the India growth story. Despite these unprecedented times, it is encouraging to note that the IIFL Wealth Hurun India Rich List 2020 has only grown. The sentiment among entrepreneurs and industry leaders has improved in recent months. India is witnessing multiple themes playing out simultaneously, which include rising wealth creation in Tier 2 and Tier 3 cities, change in behaviour of wealthy families with wealth preservation dominating investment decisions.”

Commenting on the launch, Anas Rahman Junaid, MD and Chief Researcher, Hurun India, said,

“The IIFL Wealth Hurun India Rich List is a barometer of the Indian economy, helping us understand which industries have gone up, innovated or gone down. The stories of these entrepreneurs tell the stories of India’s modern businesses.”

"28% of the upswing in wealth on the list has been bestowed by Mukesh Ambani, bespeaking Ambani's meteoric success post diversifying from oil to telecom and retail. A further 21% of the additional wealth has been generated by pharma, mainly on the back of the rise in healthcare spends and a realigned priority towards personal healthcare stimulated by the Covid-19.”

“With rising new wealth creators such as innovative startups, family businesses with strong professional management, investors who believe in the India story, and a demographic advantage that is inferior to none, the India’s wealth creation story  is still yet to reach the half-way mark.”

“Assuming that for every one Hurun rich lister we have found, we have probably missed two, it is likely that India today has 3,000 individuals with INR 1,000 Cr”, continued, Anas Rahman Junaid, MD and Chief Researcher, Hurun India.

Top 10 Wealthiest Individuals

Table 1: The Top 10 in the IIFL Wealth Hurun India Rich List 2020

↑ Rank increase yoy ↓ Rank decrease YoY - No Rank change yoy * New to Top 10

Source: Hurun Research Institute; IIFL Wealth Hurun India Rich List 2020

With a wealth of INR 6,58,400 Cr, Mukesh Ambani, continues to be the richest man in India. At the beginning of the Covid-19 pandemic, Ambani’s wealth dropped by 28% to INR 3,50,000 Cr and then backed by a series of fund raising and strategic investment from Facebook, Google and so on into Jio and Reliance Retail, his valuation registered a “V shaped recovery” and increased by 85% in 4 months. Despite the ongoing pandemic, the Reliance’s market cap crossed INR 10 lakh Cr and registered a 73% increase in Mukesh Ambani’s wealth.

“Ambani’s wealth is now bigger than the combined wealth of the next 5 in the list.”, said Anas Rahman Junaid, MD and Chief Researcher, Hurun India.

With a wealth of INR 1,43,700 Cr, the Hinduja brothers occupy the second spot in the list. The brothers saw the valuation drop by 23% due to a lackluster performance of their flagship companies such as IndusInd Bank, Gulf Oil and GOCL Corporation Limited whose share price came down by 54%, 12% and 19% respectively. The brothers are based between London, Geneva and Mumbai.

With a wealth of INR 1,41,700 Cr, the founder of HCL, Shiv Nadar ranks third, backed by a 37% increase in HCL’s share price. Nadar jumped 2 ranks to third place in the IIFL Wealth Hurun India Rich List 2020. In July 2020, after Shiv Nadar stepped down as the Chairman, his daughter Roshni Nadar Malhotra took charge of HCL as its Chairperson.

With a wealth of INR 1,40,200 Cr, Gautam Adani & family ranks fourth in the IIFL Wealth Hurun India Rich List 2020. Backed by the performance of Adani Green, Gautam Adani’s wealth increased by 48% compared to that of last year. Adani moved up two places to the fourth rank, thereby breaking into the top 5 for the first time. This year, in August, Adani Green became the first Adani Group company to cross the 1 Lakh Cr market cap. Adani Group also manages 6 airports in the country and have bid for more.

With a wealth of INR 1,14,400 Cr, Azim Premji moves down 2 positions to the fifth rank. A celebrated philanthropist, Azim Premji through his foundation and two other scientific institutes joined hands in May 2020 to fight the COVID-19 pandemic, by conducting research to find innovative testing methods. He celebrated his 75^th birthday this year and the publisher Harper Collins announced the commencement of his biography titled “The Man Beyond Millions”.

With a wealth of INR 94,300 Cr, Cyrus S Poonawalla of Serum Institute of India occupies the sixth position. Poonawalla’s wealth increased by 6% and gained two ranks; in June 2020, Poonawalla debuted the top 100 in Hurun Global Rich List. Serum Institute of India (SII) is working closely with Oxford University and multiple institutions to manufacture and distribute Covid-19 vaccines. In August this year, SII announced its partnership with Bill and Melinda Gates foundation to deliver up to 100 million doses of the vaccine to India and other low and middle-income countries.

With a wealth of INR 87,200 Cr, Radhakishan Damani, the founder of Avenue Supermarts, stormed into the top 10 for the first time in the IIFL Wealth Hurun India Rich List. Since its IPO in 2017, Avenue Supermarts’ share price has increased by more than 250% and his rank in the list increased by 23 places. A media shy veteran, Damani, who is also a revered investor, was in the news for buying 2.75% of India Cements through an open market transaction.

With a wealth of INR 87,000 Cr, Uday Kotak ranks eighth in the IIFL Wealth Hurun India Rich List 2020. On account of 5.1% drop in Q1 net profit, Uday Kotak’s wealth registered a drop of 8% or INR 7,100 Cr compared to last year.

With a wealth of INR 84,000 Cr, Dilip Shanghvi regains ninth rank (up 2 places) in the IIFL Wealth Hurun India Rich List 2020. Backed by a 22% increase in share price of Sun Pharma, Dilip Shanghvi’s wealth increased by 17% or INR 12,500 Cr. Sun Pharma’s share price decreased by 25% during the beginning of March lock down and registered a strong V shaped recovery, and gained back a whopping 60% over the last 6 months.

“These V shaped recoveries suggest that the March lows was a reasonably good opportunity to invest in the companies owned by some of the top wealth creators in India”, said Anas Rahman Junaid, MD and Chief Researcher, Hurun India.

The tenth position in the list is shared by the Pallonji brothers, Cyrus and Shapoor Pallonji. Each of them registered a wealth of INR 76,000 Cr. On the back of SP group agreeing to sell its 18.37% stake in Tata Sons for a valuation of INR 1.75 lakh Cr, the Shapoorji Pallonji-Tata relationship spanning over 70 years would finally be coming to an end.

Other notable entrants

With a wealth of INR 6,500 Cr, Ronnie Screwvala (63) of Unilazer Ventures debuted in IIFL Wealth Hurun India Rich List 2020 and secured 188^th position. Most of his wealth is derived from upGrad, an e-learning platform that offers education for working professionals. He is also an early investor in some of the most successful Indian start-ups such as Lenskart, Niki.ai, Kimaye and so on.

The rise of Kamath Brothers: Nithin Kamath & Nikhil Kamath co-founded the online trading platform Zerodha and grew it to become India’s largest stockbroker by number of clients. With a wealth of INR 16,900 Cr, Nithin Kamath, 40, stormed into Top 100 in IIFL Wealth Hurun India Rich List 2020 and Nikhil Kamath, 34, registered a wealth INR 7,100 Cr.

The IPO Star: Backed by the post IPO performance of Software Services company, Happiest Minds, which got subscribed by 150 times, Ashok Soota, 77, registered a wealth of INR 3,700 Cr and debuted the IIFL Wealth Hurun India Rich List 2020 at the 282th rank. Soota was the Founding Chairman and Managing Director of MindTree, which again completed a successful IPO during his tenure. Soota is the co-author of the national bestseller “Entrepreneurship Simplified”.

LIC agent then, billionaire now: Lachman Das Mittal, 89, an LIC agent turned entrepreneur founded Sonalika Tractors that has grown to become the third largest tractor manufacturer in India. With a wealth of INR 7,700 Cr, Lachman Das Mittal ranked 164th on the IIFL Wealth Hurun India Rich List 2020.

With a wealth of INR 8,500 Cr, Vinod Saraf, 70, secured 152nd spot in IIFL Wealth Hurun India Rich List 2020. Saraf, the founder of Vinati Organics (named after his daughter and the CEO – Vinati Saraf), a speciality chemical company, was the fastest riser in last year and registered a 16% increase in wealth this year. During the founding days, he pumped in his entire personal savings of INR 57 lakh, borrowed from friends and family and has now built one of the most valuable chemicals business in India. Saraf was presented with the “Hurun Value Creator of the Year” award during the Hurun Most Respected Entrepreneurs Summit 2019.

Rags to Riches Veteran: With a wealth of INR 5,400 Cr, Dharam Pal Gulati, 96, of MDH is the oldest individual in IIFL Wealth Hurun India Rich 2020 find his place at 216th Rank. Gulati was born in Pakistan and moved to India after partition with INR 1,500.

With a wealth of INR 6,800 Cr, Krishna Chivukula,73, of Indo-MIM ranked 182nd in IIFL Wealth Hurun India Rich List 2020 and is a new entrant. His flagship company, Indo-MIM is the World’s largest metal injection moulding company.

Where They Live

Being home to 217 individuals that comprise 26% of the list, Mumbai is the residential capital of India’s wealth creators, followed by New Delhi and Bengaluru. With 58 new entrants and 17 dropouts, Mumbai registered a net increase of 41 individuals and for the first time New Delhi registered a net loss of 5 with 17 new additions and 21 dropouts.

With 248 and 128 entrants respectively, Maharashtra and Delhi are the preferred states of residence for individuals in IIFL Wealth Hurun India Rich List 2020. Adding 11 individuals, Gujarat breaks into top 5.

“Over half of the new additions in the IIFL Wealth Hurun India Rich List 2020 are contributed by the Top 3 cities this year - a spike from the 36% last year. The fact that the list features entrepreneurs from 111 cities evidence the length and breadth of India’s wealth creation story”, said Anas Rahman Junaid, MD and Chief Researcher, Hurun India

Table 2: City/ State of Residence of IIFL Wealth Hurun India Rich List 2020

↑ Rank increase yoy ↓ Rank decrease yoy - No Rank change yoy * New to Top 20

Source: Hurun Research Institute; IIFL Wealth Hurun India Rich List 2020

 For more details visit www.hurunindia.net

Indian Diaspora

Indian diaspora around the world counts among the most successful immigrant ethnic groups. Followed by India is USA, UAE, UK and Singapore.

Table 3: Indian diaspora

Source: Hurun Research Institute; IIFL Wealth Hurun India Rich List 2020

For more details visit www.hurunindia.net

Richest Indian Professional Managers

Professional Managers in the list consist of individuals who joined busines after it has been founded, helped it grow and these managers were given stock options from which they have created their wealth.

“These Indian executives have been the cornerstones in wealth creation of some of the most valuable and respectable companies in the world. Their stories are truly inspirational for young Indian professionals, India being home to the youngest professional work force in the world”, said Anas Rahman Junaid, MD and Chief Researcher, Hurun India.

Table 4: IIFL Wealth Hurun India Rich List 2020 – Top 10 Richest Indian Professional Managers

  Source: Hurun Research Institute; IIFL Wealth Hurun India Rich List 2020

  For more details visit www.hurunindia.net

With a wealth of INR 11,300 Cr, Thomas Kurian is the number one richest professional manager in the IIFL Wealth Hurun India Rich List 2020. An MBA graduate, Kurian began his career at McKinsey & Company in New York. Later, he joined Oracle, where his career spanned for more than two decades. Most of his wealth is attributed to his stake sale in Oracle. He now leads the Cloud division of Google.

With a wealth of INR 9,100 Cr, President and CEO of Arista Networks, Jayshree Ullal is the second richest professional manager Indian in the IIFL Wealth Hurun India Rich List 2020. In June 2014, Arista Networks filed for IPO under the leadership of Ullal.

A 2016 Padma Shri awardee, Ajaypal Singh Banga holds the third position in the ranking of richest non-promoter Indians in the list. He is the President and CEO of Mastercard and registered a wealth of INR 7,200 Cr – mainly on the back of his holdings and stake sale in Master Card.

The fourth richest professional manager Indian in the IIFL Wealth Hurun India Rich List 2020 is Nikesh Arora who registered a wealth of INR 6,500 Cr. Arora is currently the CEO and Chairman of Palo Alto Networks. Prior to joining Palo Alto Networks, he served in the leadership positions of SoftBank and Google. Most of his wealth is derived from stake sale in SoftBank.

With a wealth of INR 5,900 Cr, Microsoft’s CEO, Satya Nadella is the fifth richest professional manager Indian in the IIFL Wealth Hurun India Rich List 2020. Born and raised in Hyderabad, Nadella left for the US to pursue master’s in computer science. Since 1992, Nadella has been working with Microsoft and most of his wealth is derived from Microsoft stake sale.

With a wealth of INR 5,900 Cr, Sundar Pichai shares the fifth position with Satya Nadella in the ranking of richest professional manager Indians in the list. He joined Google in 2004 and was promoted to CEO in under a decade. Pichai is one of the highest paid CEOs in the world. Google Chrome’s development and Android’s acquisition by Google are two of the major milestones of his career.

With a wealth of INR 4,500 Cr, Shantanu Narayen, Chairman of Adobe is the seventh richest professional manager in IIFL Wealth Hurun India Rich List 2020. An Indian-origin techie, Shantanu’s began his career with Apple. Apart from his current role at Adobe, he also serves in leadership roles of the US-India Strategic Partnership Forum and Pfizer. In 2019, he was felicitated with Padma Shri, India’s fourth highest civilian award.

With a wealth of INR INR 3,500 Cr, Former CEO and Chairperson of PepsiCo, Indra K Nooyi holds the eighth position amongst the richest professional manager Indians in IIFL Wealth Hurun India Rich List 2020. She became the first independent female director of ICC after joining the institution in 2018. Nooyi, whose career at PepsiCo spanned for 25 years, derived most of her wealth through stake sale in Pepsi.

With a wealth of INR 3,200 Cr, Ignatius Navil Noronha is the ninth richest professional manager Indian in the IIFL Wealth Hurun India Rich List 2020. He currently serves as the CEO of Avenue Supermarts, which is a parent organization of Indian hypermarket chain, DMart. He is the richest professional manager Indian serving on the board of an Indian company.

A new entrant to the ranking of wealthiest non-promoter Indians in the IIFL Wealth Hurun India Rich List 2020, Aditya Puri, the Managing Director of HDFC Bank, registered a wealth of INR 1,300 Cr. Puri joined HDFC Bank in 1994, after working with Citibank for 2 years. In July 2020, he sold his 0.13% stake in HDFC Bank valued at INR 842 Cr.

Biggest Gainers

Udaan, co-founded by former Flipkart executives Amod Malviya, Sujeet Kumar and Vaibhav Gupta had their wealth increase by 274% on account of strong investor interest in B2B e-commerce and topped the biggest gainer list in IIFL Wealth Hurun India Rich List 2020 for the second consecutive year. Valuation of Udaan increased from INR 20,000 Cr in October 2019 to INR 52,500 Cr in February 2020.

Chigurupati Krishna Prasad’s flagship company, Granules India’s strong growth in formulation revenue, new product additions in the API segment, and reduced costs owing to backward integration resulted in a 257% increase in its share price this year.  He is the second fastest riser.

Backed by the stellar performance of his flagship company, Laurus Labs, C Satyanarayana entered Top 5 gainers league this year. In 2015, with an investment of INR 450 Cr, Laurus entered the formulations business and over the least three years, the company reported a 165 times growth in revenue to INR 825 Cr.

Samsung has announced that it would locally manufacture almost 85-90% of the televisions they sell in India, expanding their partnership with Dixon Technologies. Dixon Technologies’ share price is riding on the hopes of India becoming the hub of contract manufacturing for electronics. In August 2020 company crossed INR 10,000 Cr market capitalization and helped its founder, Sunil Vachani become the fifth fastest riser in the list.

“19 individuals managed to double wealth in the IIFL Wealth Hurun India Rich List 2020 of whom 5 were able to triple their wealth over the last year. The top 20 fastest gainers are based in India and spread across sectors, indicating the holistic investment opportunity in India’s domestic market” said Anas Rahman Junaid, MD and Chief Researcher, Hurun India

Table 5: IIFL Wealth Hurun India Rich List 2020 – The Biggest Gainers

 Source: Hurun Research Institute; IIFL Wealth Hurun India Rich List 2020

 For more details visit www.hurunindia.net

Major Rank Changes over the last 5 years.

This section presents the data pertaining to some of the major individual rank changes that have occurred in the list over the course of 5 years.

“The rise of these wealth creators representing sectors ranging from real-estate to fin-tech confirms the rising story of India Inc. over the last 5 years.”, said Anas Rahman Junaid, MD and Chief Researcher, Hurun India.

Table 6: Biggest Rank Changes

Source: Hurun Research Institute; IIFL Wealth Hurun India Rich List 2020

 For more details visit www.hurunindia.net

New to the List!

IIFL Wealth Hurun India Rich List added a record 162 new faces, from 31 industries and from 50 cities. The Pharmaceuticals sector contributed the greatest number of new entrants with 27 new additions, followed by Chemicals & Petrochemicals (20) and Software & Services (15).

“More than 70% of the new entrants are self-made – this depicts the rising first-generation entrepreneurship in India”, said Anas Rahman Junaid, MD and Chief Researcher, Hurun India.

Table 7: Top 10 new additions

Source: Hurun Research Institute; IIFL Wealth Hurun India Rich List 2020.

For more details, visit www.hurunindia.net

Industry analysis

With 122 individuals on the list, Pharmaceuticals leads the list followed by Chemicals & Petrochemicals with 55 individuals and Software & Services with 50 individuals.  Automobile & Auto Components, Food & Beverages, Manufacturing, Construction & Engineering, etc. are some of the other big contributors to the IIFL Wealth Hurun India Rich List 2020.

Covid-19 pandemic boosted the Pharma sector and hit the real estate sector hard

The industries that added the greatest number of new entrants to the list were Pharmaceuticals, Software & Services, and Chemicals & Petrochemicals. Except for Construction & Engineering, FMCG, and Financial Services, almost all the industries added more individuals than last year.  

Supported by rising pharma shares, the Bombay Stock Exchange (BSE) Sensex went up by 4.1% yoy as on 31 August 2020. Real Estate, Financial Services, Capital Goods, and Metals had a bad year. Currently, the Indian stock market seems to be trading at an expensive valuation of 27.2x PE compared to last year’s PE of 26.2x.

“Reasonably high valuation multiples that defied the economic slowdown and Covid-19 crisis, is triggering more Indian companies to initiate IPOs, resulting in further wealth creation”, said Anas Rahman Junaid, MD and Chief Researcher, Hurun India.

  Table 10: IIFL Wealth Hurun India Rich List 2020 – Industry breakdown

↑ Rank increase yoy ↓ Rank decrease yoy - No Rank change yoy * New to Top 10

Source: Hurun Research Institute; IIFL Wealth Hurun India Rich List 2020

Pharmaceuticals continues to rule

On the back of “Covid-19 crisis” and on the back of shift in priority towards health care spending, India’s pharma sector had a stellar year with 122 entrants and 27 new additions. The Indian government is planning a fiscal stimulus of USD1.3bn that targets to build domestic infrastructure required to boost the production of active pharmaceutical ingredients (APIs) –

“In the coming years, this could add new Pharma entrepreneurs to the list”, said Anas Rahman Junaid, MD and Chief Researcher, Hurun India.

Chemicals & Petrochemicals rises to the second spot

With 20 new additions, 55 entrants from the IIFL Wealth Hurun India Rich List 2020 created wealth from the Chemicals & Petrochemicals sector. Compared to last year, the cumulative wealth in this sector grew by 34%. For instance, decorative paint businesses recovered sharply post the lifting of lockdown restrictions. The number 1 from this sector is Ashwin Dani & family, with a wealth of INR 42,100 Cr. Revamped government regulations on anti-dumping duty of phenol helped Deepak Chimanlal Mehta & family, of Deepak Nitrate, to grow his wealth by 167% this year, scoring a wealth of INR 4,800 Cr.

Software & Services down to third position

Software & Services continues to hold on to the second position by contributing 50 entrants and 15 new additions to IIFL Wealth Hurun India Rich List 2020. Bengaluru continues to be hub for software companies.

“The pace at which the young technology companies, focused on the Indian domestic market, are creating wealth, underscores the role of tech companies in creating new wealth”, said Anas Rahman Junaid, MD and Chief Researcher, Hurun India.

Automobile & Auto Components retains the fourth spot

43 entrants from the IIFL Wealth Hurun India Rich List 2020 created wealth from the Automobile & Auto Components industry. Their combined wealth increased by 15% compared to that of last year. 8 new entrants in the list. With 6 individuals, Chennai based Amalgamations Group contributes the highest number of entrants from this industry.

Jewellery valuations increased this year

Including 8 new entrants, Jewellery sector contributed 38 individuals to IIFL Wealth Hurun India Rich List 2020. The combined wealth of Jewellery entrepreneurs increased by 28% in 2020. Along with the rise in the average wealth, this sector also observed a rise in the number of individuals. Lack of sales during the lockdown was compensated by increase in gold prices that enabled jewelers to earn higher margins. There were 8 new additions under this sector in the list of 2020. Kalyan Jewellers from Kerala filed for an IPO this year.

Financial Services increased this year

With a total of 37 individuals including 4 new additions and 8 dropouts, financial services had a bad year. The wealth loss by entrepreneurs in this sector was compensated by wealth gains of Fintech entrepreneurs such as Vijay Sekhar Sharma (Paytm) and Kamath brothers (Zerodha).

Construction & Engineering goes down

Impacted by Covid-19, 33 entrants and 13 dropouts from construction and engineering sector. With a wealth of INR 11,600 Cr, AIA Engineering’s Bhadresh Shah is the wealthiest individual from the sector. Backed by the plans of group restructuring involving demerger of non-airport vertical business, GMR Group’s GM Rao and family, whose wealth shot up by 65% since last year and is the biggest gainer from the sector.

On account of new additions, real estate languidly moves to the seventh spot

The real estate sector contributed 33 and added 6 individuals in the IIFL Wealth Hurun India Rich List 2020. Covid-19 dragged down the performance of real estate companies, resulting in BSE Realty declining by 15%. Excluding the outliers, most of the real estate entrepreneurs in the list registered an average wealth decline of 10%.

Manufacturing is new to top 10

With 32 entrants and 10 new additions in the IIFL Wealth Hurun India Rich List 2020, manufacturing enters the top 10 industries. The highest gainer in this category is the CMD of Dixon Technologies, Sunil Vachani, who registered a whopping 192% in his total wealth in a year’s span.

Food & Beverages shoots up

With a growth rate of nearly 31% in the cumulative wealth generated, F&B ranks Tenth. None of the members from this sector witnessed a wealth decline compared to last year. Ravi Jaipuria (rank 40) of RJ Corp is one of the biggest gainers in the IIFL Wealth Hurun India Rich List 2020.

Table 11: Top 5 Industry producing the most number of new entrants

Source: Hurun Research Institute; IIFL Wealth Hurun India Rich List 2020

For more details visit www.hurunindia.net

The Unicorn Industries

According to Hurun Global Unicorn List 2020, India ranked fourth in terms number of unicorns featured in the list with 21 unicorns. IIFL Wealth Hurun India Rich List 2020 features founders from 11 Indian unicorns, compared to 9 that of last year, from the Hurun India Unicorn Index 2020. The cumulative wealth contributed by the Indian unicorn listers to the rich list shot up by 400% to INR 1,71,500 Cr.

Mergers and Acquisitions (M&A)

Blackstone acquired 37.5% stake in competitive exam preparation firm Aakash Educational Services, founded by JC Chaudhry (ranked 391), for a sum of INR 1,350 Cr.      

Zomato, founded by Deepinder Goyal (ranked 432), acquired one of its major competitors, Uber Eats India for a sum of USD350mn. ·       

Byju Raveendran (ranked 52) promoted online learning app Byju’s acquired another ed-tech startup WhiteHat Jr for USD300mn. This was an all-cash deal.     

Eicher Group, managed by Vikram Lal (ranked 37), bought Volvo Bus India for INR 100 Cr to form a joint venture named VE Commercial Vehicles Limited (VECV).

Total SA acquired a 50% stake in Gautam Adani’s (ranked 4) Adani Solar, for USD510mn. This deal is known to be one of the largest acquisitions in this sector.

Other facts

·       Obituary: Hurun India remember the contribution of Sankar Sen, 62 (Senco Jewlers) -  who passed away due to Covid-19, Ashokkumar Ruia, 75 (Phoenix Mills), Yadupati Singhania, 66 (JK Cement), Gumani Ram Agarwal, 87 (GR Infraprojects), Baijnath Choudhary, 83 (Anmol Biscuits) and KK Modi, 79 (Godfrey Phillips India)

·       Spice Jet’s Chairman Ajay Singh was the man who framed the Bharatiya Janata Party’s 2014 election slogan, ‘Ab ki baar Modi sarkar’. Singh has been associated with the political party since the late 1990s.

·       Godrej Aerospace, a subsidiary of Godrej & Boyce Manufacturing Company built the critical components for Indian lunar orbiter Chandrayaan-2. Godrej’s aerospace association with ISRO goes way back to 1985.

·       On 30th October 2019, Ratan Tata joined Instagram and gained 3.4 lakhs followers within hours!

New to Top 100

13 individuals entered the Top 100 of IIFL Wealth Hurun India Rich List 2020. Founders of the unicorn companies registered highest rank changes to enter the top 100. Mumbai is the preferred city of residence for the top 100.

Table 13: New to Top 100

Source: Hurun Research Institute; IIFL Wealth Hurun India Rich List 2020.

For more details, visit www.hurunindia.net

Stats: Record Highs

·       The threshold to make the 2020 rich list was INR 1,000 Cr, with a total of 828 number of individuals, up by 78 from last year.

·       The number of dollar billionaires up by 38 this year to 179 individuals.

Chart 14 depicts the growth of the number of individuals by various thresholds in IIFL Wealth Hurun India Rich List over the years

Source: Hurun Research Institute; IIFL Wealth Hurun India Rich List 2020

 For more details visit www.hurunindia.net

Table 15: Table analyses the cut-off required for Top 10, 50, 100 and 500

Source: Hurun Research Institute; IIFL Wealth Hurun India Rich List 2020, *List size less than500

 For more details visit www.hurunindia.net

 Table 16: Companies Producing the Highest Number of Rich Listers

 Source: Hurun Research Institute; IIFL Wealth Hurun India Rich List 2020. For more details visit www.hurunindia.net

“Infosys is the only company that is not family run and yet produced more than 5 entrants into the IIFL Wealth Hurun India Rich List 2020. With a growing base of new wealth creators and next gen from their respective family businesses, we expect the proportions to even out”, said Anas Rahman Junaid, MD and Chief Researcher, Hurun India

Social Media

Ratan Tata has the highest number of followers amongst all others in the IIFL Hurun India Rich List 2020. His twitter following rose by 15 lakhs in one year. While Anand Mahindra was taken over by Ratan Tata in this section, his twitter followers showed an increase by 9 lakhs.

Table 17: Social Media Followers of IIFL Wealth Hurun India Rich List 2020

  Source: Hurun Research Institute; IIFL Wealth Hurun India Rich List 2020

 For more details visit www.hurunindia.net

Political affiliations

Generating wealth along with sustaining, investing and utilizing the same optimally are the primary objectives of wealth creators. However, there’s more that adds up to their personalities. For instance, thirteen out of the total individuals in the IIFL Wealth Hurun India Rich List 2020 are currently, or have been politically active in India, either with the ruling or the opposition parties, or, have at times, been nominated by the then-serving presidents.

Table 18: Political affiliations of Hurun India 2020 Rich Listers

Source: Hurun Research Institute; IIFL Wealth Hurun India Rich List 2020

Largest Publicly Traded Companies

7 of the largest publicly traded companies are led or was being most recently led by the individuals in the IIFL Wealth Hurun India Rich List 2020. Reliance Industries is the first Indian company to register a market cap of USD 200bn.

Table 19: Most valuable public companies in India

Source: Hurun Research Institute; IIFL Wealth Hurun India Rich List 2020

For more details visit www.hurunindia.net

Star Signs: The rich list entrants from under the Aries star sign had a good year and registered an 55% increase in cumulative wealth, followed by Scorpions at 52%. Geminis had a bad year. Some of the notable “Gemini” entrepreneurs include Anil Ambani (who dropped out of the list last year) and Donald Trump.

Table 20: Key Star Signs in IIFL Wealth Hurun India Rich List 2020

Source: Hurun Research Institute; IIFL Wealth Hurun India Rich List 2020

 For more details visit www.hurunindia.net

Top 100: IIFL Wealth Hurun India Rich List 2020. For the full list, please refer www.hurunindia.net

Source: Hurun Research Institute; IIFL Wealth Hurun India Rich List 2020

 For more details visit www.hurunindia.net

Methodology

The IIFL Wealth Hurun India Rich List 2020 has been researched and compiled by the Hurun Research Institute for the seventh year running, using a cut-off of 31 August 2020 when the rate of exchange to the US dollar was INR 73.67. The list relates to Indians only, defined as born or brought up in India.

Valuing the wealth of India’s richest is as much an art as it is a science. Sure, Hurun Report has missed some, but our endeavor has been to develop the most comprehensive report of its kind with an objective to identify and acknowledge India’s top entrepreneurs and business owners. The source of wealth includes both inherited and self-made wealth. Hurun Report’s team of researchers have traveled the length and breadth of the country, cross-checking information with entrepreneurs, industry experts, journalists, bankers and all possible sources of information.

For unlisted companies, Hurun Research’s valuation is based on a comparison with their listed equivalents using prevailing industry multiples such as Price to Earnings, Price to Sales, EV to Sales, EV to EBITDA and also other methodologies including Discounted Cash Flow, Tobin’s Q and so on. In certain cases of early-stage companies, Hurun Report has used the First Chicago Method for valuation.

Disclaimer and Notices

IIFL Wealth Disclaimer

Confidential: This document is not directed or intended for distribution or use, by any, person or entity in any jurisdiction or country where publication or availability of this document or such distribution or use would be contrary to local laws or regulation. Any other distribution, use or reproduction of this communication in its entirety or any part thereof is unauthorized and strictly prohibited. All opinions, estimates and data included in this document are as on date and are subject to change without notice.

No Advice: This document is provided for information only and is not intended to be used for taking investment decisions. This document is not investment, legal, tax, or accounting advice. Prospective investors should also inform themselves, and should take appropriate advice, on the legal requirements and as to the possible tax consequences, foreign exchange transactions or exchange control requirements that may be encountered under the laws of the countries of their citizenship, residence or domicile and that maybe relevant to the subscription, purchase, holding, exchange, redemption or disposal of any investments.

Past Performance: Past performance is not an indicator/guarantee of future returns. Clients are not being offered any guaranteed or indicative returns through any services/products.

Limit on Liability: Whilst every care has been taken in preparing this document, IIFLW, and their affiliates and agents to the fullest extent permitted by applicable law disclaim any liability or responsibility for any error or omission or inaccuracy or mistake of any nature or any consequences of the use of the material/information displayed on this document. Notwithstanding the aforesaid, nothing set out above shall exclude liability for any undertaking, representation, warranty or other assurance made fraudulently.

Not an Offer: This document does not constitute a prospectus, offer, invitation or solicitation and is meant for information only. Please read the respective offer documents carefully before investing. It is the responsibility of any person in possession of this document to inform themselves of, and to observe, all applicable laws and regulations of relevant jurisdictions with respect to any investment.

Information Subject to Change: The information given in this document is not exhaustive and is subject to change without notice.

Hurun Report Disclaimer

This report has been prepared by the Hurun Report. All the data collection and the research has been done by the Hurun Report. This report is meant for information purposes only. Reasonable care and caution have been taken in preparing this report. The information contained in this report has been obtained from sources which are considered reliable. By accessing and/or using any part of the report, the user accepts this disclaimer and exclusion of liability which operates to the benefit of Hurun Report. Hurun Report does not guarantee the accuracy, adequacy or completeness of any information contained in the report and neither shall it be responsible for any errors or omissions in or for the results obtained from the use of such information. No third party whose information is referenced in this report under the credit to it assumes any liability towards the user with respect to its information. Hurun Report shall not be liable for any decisions made by the user based on this report (including those of investment or divestiture) and the user takes full responsibility for their decisions made based on this report. Hurun Report shall not be liable to any user of this report (and expressly disclaim liability) for any loss, damage of any nature, including but not limited to direct, indirect, punitive, special, exemplary, consequential losses, loss of profit, lost business and economic loss regardless of the cause or form of action and regardless of whether or not any such loss could have been foreseen.

About IIFL Wealth

IIFL Wealth Management Ltd (IIFL Wealth) is one of the leading wealth management companies in India and serves the highly specialized and sophisticated needs of high net worth and ultra-high net worth individuals, family offices and institutional clients. It is the first pure wealth management company to get listed on the leading stock exchanges of India.

IIFL Wealth recognises that incremental innovation is vital to develop a holistic products platform that serves the evolving needs of entrepreneurs, business leaders and the wealthy in India.

IIFL Wealth helps more than 6,300 influential families in India and abroad to preserve, protect and grow their legacy. A deep understanding of clients results in a comprehensive range of tailored wealth management solutions for the discerning clients.

IIFL Wealth has more than INR 185,000 crore of assets under management, and 29 offices with 900+ team strength and has won more than 110 awards of repute. The competitive positioning and growth prospects of the company have been endorsed by way of investments from General Atlantic, Fairfax, Ward Ferry, Rimco Mauritius, Amansa Holdings Steadview and HDFC Standard Life Insurance among others.

About the Hurun Report     

Hurun Report is a leading luxury publishing and events group established in London in 1998 with a strong presence in China and India. It is widely recognized world-over for its comprehensive evaluation of the wealthiest individuals across the globe. Hurun Report is the largest compiler of the rich list globally.

Hurun Report Inc. has four divisions: Hurun Report Media, a stable of digital media and four magazines; Hurun Research Institute; Hurun Conferences, an active events division targeting entrepreneurs and high net worth individuals; and Hurun Investments, a USD20m early-stage venture capital fund with investments into tech, media, retail and education.

About Hurun India

“Promoting Entrepreneurship Through Lists and Research”

Hurun India commenced operations in 2012 and has been bringing to light stories of successful and emerging Indian entrepreneurs ever since, felicitating them at a bouquet of Hurun events hosted Pan-India.

Hurun India serves as India’s definitive voice celebrating wealth creation, innovation, and growth. Last year, Hurun further expanded its repertoire by releasing the Hurun Global Rich List 2020, a ranking of the 2,816 US dollar billionaires, so-called ‘Nine-Zero Club’, currently in the world and the ninth India Rich List which ranks the 828 richest individuals in India, allowing for comparisons between some of the most dynamic economies in the world. The purpose of this list is to try and tell the story of modern India through the eyes of an entrepreneur. For the full details, please refer to on www.hurunindia.net.

The Hurun India Philanthropy List ranks the most generous individuals in India and is now on its 5^th anniversary. Indians give much more generously than many have previously understood.

The Hurun Real Estate Rich List ranks the top real estate developers in the country and is now on the 4^th anniversary.

In 2018, Hurun Report launched the Hurun India Women Rich List, aimed at celebrating the success stories of some of the most amazing women wealth creators and inheritors.

In 2019, Hurun India Art List was launched, aimed at tracking some of the most successful artists who are alive today by way of cumulative auction prices. This we believe is a watershed moment in the art history of India, where we expect more entrepreneurs to start collecting.

In 2019, Hurun Luxury Consumer Survey was debuted to understand and speak about spending habits of ultra-high net worth individuals.

In 2020, Hurun India Unicorn Index was debuted to track and speak about the top young wealth creators of the country.

For the full details, please refer to on www.hurunindia.net.

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