Mukesh Ambani, the billionaire chairman of Reliance Industries Ltd., has announced that the conglomerate expects to list its financial services business, Jio Financial Services Ltd., soon. This move aims to establish Jio Financial as India’s largest non-banking lender, capitalizing on the strength of the digital and retail businesses.
In his message to shareholders during the annual report for the financial year ending on Mar. 31, Ambani highlighted that the creation of this new entity would unlock value for shareholders and offer them an opportunity to participate in a new growth platform.
The annual shareholders’ meeting, scheduled for Aug. 28, is expected to shed more light on Ambani’s strategies for Jio Financial Services, clean energy, and digital businesses. Reliance Strategic Industries Ltd., later to be renamed Jio Financial, was recently valued at approximately $20 billion after its shares were spun off in a special session conducted by exchanges to determine its trading value.
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Despite currently generating limited revenue, the newly formed Jio Financial Services owns a 6.1% stake in Reliance Industries and has already announced a partnership with BlackRock to establish an Indian asset management venture. Ambani emphasizes that the primary goal of Jio Financial Services is to provide simple, affordable, and innovative digital-first solutions.
Mukesh Ambani’s past track record demonstrates his ability to transform businesses successfully, steering Reliance Industries from a traditional focus on crude oil refining and petrochemicals businesses into a consumer services behemoth over the last decade.
With this upcoming listing and focus on Jio Financial Services, Ambani aims to continue driving the growth and expansion of Reliance Industries, further solidifying its position as a prominent player in the Indian market.