While the Indian economy “has been nearly decimated” during the lockdown to control the spread of Covid-19, here we have Asia’s richest man, Mr. Mukesh Ambani teaching everybody how to use the available resources effectively. “Mr. Ambani’s companies (particularly the telecom giant Jio) have prospered, and his personal wealth has increased substantially,” said Jayati Ghosh, chair of the Centre for Economic Studies and Planning at the Jawaharlal Nehru University.
Asia’s richest man, Mukesh Ambani, joined the club of world’s top 10 wealthiest people. Not only this, but also Ambani is labeled as the only person from Asia on the list.
Ambani is the chairman and chief executive of Reliance Industries which is India’s one of the most worthy companies. His net worth recently jumped to $64.5 billion, overtaking Oracle’s Larry Ellison and French L’Oreal heiress Francoise Bettencourt Meyers for the No. 9 spot on the list, reports CNN quoting the Bloomberg Billionaires Index.
This milestone achieved by RIL, comes shortly after Ambani accumulated more than $16.5 billion in investments in just three months for Reliance’s digital technology arm, Jio Platforms, and despite challenges to the oil side of Reliance’s business.
Reliance has grown from an oil and energy company into an amalgamation of retail shops, a mobile and broadband carrier, digital platforms and more under Ambani’s leadership.
The fundraising onslaught and a recent share sale have made Reliance Industries debt-free, the statement from the company in June. Sources said, company’s net debt at the end of March was 1.61 trillion rupees ($21 billion).
Shares of the company have more than doubled since a low in March and are up 17.2% since the beginning of this year to 1,752.50 rupees, or $23. Where many other companies continue to suffer from the economic fallout of the corona virus pandemic and India’s economy appears to be headed for a major slump, here Reliance’s stock has recovered and set standards for others to follow.
The recent investments in Jio Platforms include more than $15 billion from the likes of Facebook and top Silicon Valley investors Silver Lake and TPG. It also received $1.2 billion from Abu Dhabi’s sovereign wealth fund and $1.5 billion from Saudi Arabia’s sovereign wealth fund. The deal with Saudi Arabia valued Jio at close to $68 billion.
The investments will fuel Ambani’s ambitions to make Jio Platforms into an internet giant that could rival Google or Alibaba.
Facebook’s $5.7 billion bet on the company, one of the social media company’s biggest-ever deals, signaled that Ambani and Facebook are aiming to create a platform similar to Tencent’s WeChat, where users have access to messaging, mobile banking, social media and other services.