Serum Institute tops India’s unlisted majors but sheds valuation; Byju’s, Swiggy see worrisome fall

• The valuation of 287 out of India’s top 500 most valuable companies declined between October 2022 and April 2023.
  
• India’s most valuable unlisted entity, Serum Institute of India shed 12.6% of its value as the need for Covid-19 vaccines waned.
  
• The top loser amongst the most valuable unlisted entities is Byju’s, which saw 62% of its wealth destroyed.
  

India’s most valuable companies lost some shine in the last six months of the financial year gone by. The cumulative value of India’s 500 most valuable companies declined by 6.4% to ₹212 lakh crore in April 2023 from ₹227 lakh crore in October 2022, according to the Burgundy Private Hurun India 500-Special Report.

Of the 500 companies, 287 experienced a decline in total value, while 14 remained flat, and 24 dropped out of the list. The combined value of the top 10 companies remained flat at ₹71.4 lakh crore, representing a significant portion of India's GDP.

“During this period, the Burgundy Private Hurun India 500 companies underperformed compared to major indices such as Sensex and Nasdaq. While Sensex remained flat, Nasdaq saw an impressive 11% increase from October 30, 2022 to April 30, 2023,” said Anas Rahman Junaid, managing director and chief researcher at Hurun India.

Adani group saw its value decrease by half and two of the group companies – Adani Enterprises and Adani Total Gas – moved out of the top 10 during the period under review.

The outliers to the general trend were companies like ITC, HDFC and HDFC Bank, which became top gainers by absolute value.

Burgundy Private Hurun India 500-Special Report Top 10

Rank	Company	Value (INR Cr)	Change
1	Reliance Industries	16,37,327	-5.1%
2	Tata Consultancy Services	11,76,385	0.7%
3	HDFC Bank	9,41,386	12.9%
4	ICICI Bank	6,41,930	1.4%
5	ITC	5,29,682	22.5%
6	Infosys	5,19,794	-19.7%
7	Housing Development Finance Corporation (HDFC)	5,08,172	13.2%
8	Bharti Airtel	4,76,737	-2.6%
9	Kotak Mahindra Bank	3,84,001	1.7%
10	Larsen & Toubro	3,31,694	16.7%

Source: Hurun Research Institute, Burgundy Private Hurun India 500-Special Report


Unlisted companies aren’t spared

While top startups that went public have been losing value, their unlisted peers have also underperformed in the period under review. The top loser amongst the most valuable unlisted entities is Byju’s, which saw 62% of its wealth destroyed.

While Dream11 and Razorpay held on to their valuations, Swiggy shed 34% of its value. Their listed peers – also unicorns – haven’t done so well either – the combined value of Nykaa, Zomato, Paytm and Policybazaar declined by ₹7,872 crore during the review period.

“We are witnessing a unique confluence of events, with the Russia-Ukraine war causing a surge in inflationary pressures worldwide, central banks increasing their key lending rates and funding winter for startups,” said Junaid.

Eight out of the top 10 most valuable unlisted companies saw an erosion in their value. India’s most valuable unlisted entity, Serum Institute of India shed 12.6% of its value — as the need for Covid-19 vaccines waned.

Mumbai-based Parle Products lost 13% of its value as fast-moving consumer goods (FMCG) companies were facing the heat of inflation. The exceptions to the general trend were – the National Stock Exchange of India, whose value went up 18.7% during the period and Mankind Pharma, which saw a 7.7% increase in value. However, Mankind Pharma was listed on the stock exchanges in May.

Rank	Company	Value (INR Cr)	Change
1	Serum Institute of India	1,92,000	-12.6%
2	National Stock Exchange of India	1,65,300	18.7%
3	Byju’s	69,100	-62.1%
4	Dream11	65,800	-0.6%
5	Razorpay	61,700	-0.6%
6	Swiggy	58,400	-34.1%
7	Intas Pharmaceuticals	58,000	-2.2%
8	Megha Engineering and Infrastructure	54,500	-1.4%
9	Parle Products	54,300	-13.3%
10	Mankind Pharma	53,438	7.7%

Source: Hurun Research Institute, Burgundy Private Hurun India 500-Special Report