RIL secures Saudi Aramco, Mukesh Ambani, Asia’s Billionaire stated. After the recent fund raising activity, which he calls to be an exceptional event in Indian corporate history. The company is now moving towards closing its deal with Saudi Aramco. Moreover, it is a Saudi Arabian multinational petroleum and natural gas company. Which, is based in Dhahran, Saudi Arabia. Also, it is one of the largest companies in the world by revenue. And one of the most profitable companies in the world.
Reliance Industries Limited (RIL) raised Rs 168,818 Crore in just two months. Through the country’s largest ever rights issue and series of stake sale deals. In its arm Jio Platforms, delivering on a promise given to shareholders in August last year. Furthermore, the company is now working on delivering another promise. It is planning a stake sale in its oil-to-chemicals business to Saudi Aramco.
Saudi Firms Want Stake
“In the energy businesses, Reliance is working to complete the contours of a strategic partnership with Saudi Aramco. RIL secures Saudi Aramco. Since, the partnership gives our refineries access to a wide portfolio of value-accretive crude grades. And enhanced feed stock security for a higher oil-to-chemicals conversion.” Ambani said. In the company’s annual report for the Financial Year 2019-20.
But, at the company’s annual general meet last year. Ambani had announced his ambition to reduce the net debt of RIL to zero in almost 18 months. RIL announced that it was in talks with Saudi Arabian energy Giant Aramco. In order to sell 20% stake in its oil-to-chemicals business. At an enterprise value of $75 billion. Though, this deal was originally expected to be closed by March 2020.
Besides, the conglomerate raised Rs 53,124.20 Crores. Just by offering shares to existing share holders. And another Rs 115,693.95 Crores through sale of stake in Jio Platforms. This was done through 11 deals in a matter of 58 days. While India was under a lock down due to the Covid-19 pandemic. This is uniquely breathtaking as we continue to fight battles, the firm has secured a throne for the riches.
“The combined capital raised has no precedence globally in such a short time. Both of these are also unprecedented in Indian corporate history. And have set new benchmarks. This is even more remarkable that this was achieved amidst a global lock down. Which was caused by the COVID-19 Pandemic.” Mukesh Dhirubhai Ambani said.