When the Adani Group broke ground on a new container terminal at Colombo port late last year, it was a win not just for the Indian conglomerate but for the government in New Delhi that hoped to extend influence in Sri Lanka.

Prime minister Narendra Modi’s administration had long been keen to offset China’s sway on the nearby island. While Sri Lanka rejected an earlier proposal amid protests about a key asset falling into foreign hands, Adani ultimately secured the majority stake in a $700mn deal to build and operate the terminal. Sri Lanka said at the time the project was “approved” by the Indian government, something New Delhi denied.

The Adani group, whose owner Gautam Adani has longstanding ties with Modi, has in recent years clinched deals everywhere from Myanmar to Israel as part of an ambitious overseas expansion. The tycoon said last year his group had “l(fā)aid the foundation to seek a broader expansion beyond India’s boundaries”.