Mukesh Ambani All Set to Lead Reliance Industries into New wave Of Growth
Reliance Industries Limited (RIL), India’s largest private sector company in terms of market capitalization, is a pioneer in the country’s core sectors of energy and petroleum (E&P), petrochemicals and retail. And with 2012 on the horizon, the company is looking to expand its scope beyond these realms. Led by Chairman of RIL, Mukesh Ambani, the company is now gearing up to take on additional sectors to prompt its new phase of growth – a growth led by forging global partnerships and diversifying the scope of business.
Mukesh Ambani had expressed his plans of forging new partnerships to pursue new growth opportunities for Reliance Industries at the AGM 2011 held in the month of July. In keeping with this scheme of action, the company has been signing long term deals with major companies in the sectors of financial services, telecom, education and hospitality in order to culminate larger-than-life ventures that stand as testaments of value and purpose. For starters, RIL inked a 50:50 joint venture with hedge fund leader DE Shaw earlier this year to enter the booming sector of Indian financial services. Through this venture, Mukesh Ambani led conglomerate hopes to offer across-the-board range of financial services including lending, algorithmic broking, stock broking, mutual funds and asset management in an effort to position themselves as a full-fledged financial services firm. The JV has already been allotted requisite permissions from SEBI and Nations Securities Depository Ltd., and it plans to start operations from January 2012. RIL has also brought Bharti Group's 74 per cent stake in insurance joint ventures with AXA of France to add to its financial services circle.With respect to telecom sector, Reliance Industries will re-enter the segment through Infotel Broadband in which it has acquired 95% stake. RIL has already mapped plans for investing nearly Rs. 15,000 croresinto the sector. It is also in talks with leading telecom tower players to lease more than 50,000 towers to support it plans of rolling out 4G broadband services very soon.
In the education sector, Reliance has picked 38.5 % stake in Delhi-based digital educational company Extramarks. This initiative closely parallels RIL’s plans of taking on broadband services sector through plans of leveraging 4G broadband services into digital education format. As far as hospitality industry is concerned, RIL bought 14.12 per cent stake in East India Hotels, which runs the prestigious chain of Oberoi hotels earlier this year.
Valued at $26.7 billion as on September 2011, Reliance Industries is already a force to reckon with. Given its plan to take over many more sectors within country, one can soon find a Reliance Industries stamping in every major circle over the course of coming decade.
Tags: Mukesh Ambani , Reliance , Reliance Industries , RIL
This work is licensed under a Creative Commons Attribution 3.0 License.