After successfully becoming a zero-net-debt company this year by selling stakes to the likes of Facebook and Google in Jio Platforms, Reliance Industries Limited (RIL) is now looking to do the same with Reliance Retail and its oil-to-chemicals business.
RIL is seeking to entice Facebook and KKR, both early bird investors in Jio Platforms, to buy into Reliance Retail. As for the oil-to-chemicals business (O2C), plans are already afoot to hive it off into a separate company styled Reliance O2C, which will include all the refining, petrochemicals and related manufacturing and retail marketing assets, but minus the oil exploration business.
Reliance Industries Ltd. will turn largely into a holding company with stakes in different businesses — refining and petrochemical, retail, telecom and media. The Mukesh Ambani-controlled conglomerate will be left with only the domestic oil and gas exploration arm in its standalone business, while all the other units will be held through structures similar to subsidiaries. That will happen after Saudi Aramco will be given the 20 percent stake, while the remaining 80 percent will be held by RIL’s current shareholders.
Watch out for more Oil and Gas assets acquisition announcement….