Mukesh Ambani who is the India's richest person for 12 years in a row, has seen his wealth drop by 38.7 per cent as the shares of Reliance Industries (RIL) recorded its fresh intraday 52-week low of Rs 891 on 19 March 2020. Just a month back on 17 Feb, the shares of RIL closed at Rs 1,478.4. Since then the stock has lost 38 percent of its value. As per Forbes real-time wealth, in absolute terms Mukesh Ambani has lost USD 22.7 billion a drop from a fortune of USD 57.1 billion on Feb 17,2020 to USD 35 billion on 19 March 2020. Since the Forbest 100 richest Indianslist published in October 2019, Mukesh Ambani has lost 32 per cent of his fortune amounting to Rs USD 16.4 billion.
India's second richest person Radhakishan Damani, whose key to wealth is the high growth company Avenue Supermarts (D-mart). He has seen his wealth shrunk by USD 4.2 billon. Damani wealth was estimated at USD 17.4 billion on 17 Feb 2020. Since then till 19 March Damani's wealth has seen an erosion of USD 4.2 billion. The reason for the reduction of his wealth is the fall in the stock prices of Avenue Supermarts. D-mart's stock closed at a level of Rs 2,340.5 on 17 Feb. Since then, till 19 March the stock has lost 22 per cent of its value as it closed at a level of Rs 2,340.5.
The founder of HCL, Shiv Nadar, the third richest Indian's net worth declined by USD 4.9 billion in a month. From a wealth of USD 16.3 billion on 17 Feb to USD 11.4 billion on 19 Mach. Nadar has lost 30 per cent of his fortunes amid the stock market crash of 2020. The reason behind his wealth crash is a 32.7 per cent drop in the share price of HCL Technologies from Rs 613.4 to Rs 412.8 (update) in a month.
Uday Kotak, a self made banking billionaire is the forth richest Indian. Amid the market fall out due to the Coronavirus pandemic, Uday Kotak has witnessed an erosion of USD 4.3 billion from his net worth. The executive vice-chairman and managing director of Kotak Mahindra bank's fortunes were USD 15 billion a month back which has declined to USD 10.7 billion till 19 March. The explanation of this is 28.6 per cent (update) fall in the stock prices of Kotak Mahindra bank from a level of Rs 1691 on 17 Feb to Rs 1207 (update) till the closing of 19 March.
Similarly the fifth richest Indian and the chairman of Bharti Enterprises, Sunil Mittal has seen a 23 per cent drop in net worth. From USD 11.8 billion on 17 Feb to USD 9.1 billion till 19 March. The reason is a dip of 21 per cent in the share price of Bharti Airtel from a level of Rs 565 in Feb to Rs 444.9 on 19 March 2020.
Between October 2019 and March 2020, Sunil Mittal is the only Indian billionaire that has gained in wealth. Rest every billionaire has seen a dip. There has been a 19.7 increase in Sunil Mittal's fortunes in the five month time period.
The chairman and founder of Adani Enterprises, Gautam Adani has seen a wealth drop of USD 4.9 billion. Adani's net worth has tumbled from USD 13.8 billion on 17 Feb to USD 8.9 billion till 19 March, a fall of 35.5 per cent. The drop in his wealth can be attributed to the tumbling share price Adani Enterprise stock. On Feb 17 the shares of Adani Enterprises closed at a level of Rs 252.6, which have fallen by over 50 per cent to Rs 129 till 19 March 2020.
Similarly, the wealth of Cyrus Poonawalla, Kumar Birla, Laxmi Mittal and Benu Gopal Bangur has declined by USD 1.3 billion, USD 2.3 billion USD 4.8 billion and USD 2.2 billion respectively.
The erosion in the net worth of these richest Indians comes on the back of Sensex and Nifty logging huge losses amid the Coronavirus endemic that has paralysed the world and has started a bear run at the stock exchanges. The current bear run that Indian stock exchanges has entered into is the eighth since the year 1990. A bear run is a phase in the market when there is a 20 per cent or more drop since the all time highs. Amid the Coronavirus endemic a 11 year long bull market has come to a halt and the bears have taken over. Since 14 Jan 2020, when Sensex recorded its highest ever closing of 41,952.6, the benchmark index has shed 13,664 points or 32.6 per cent of its value. That's one third of the entire Sensex.