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Operating income ₹102,280 crore

(US$14 billion)
[1] (2020)

Net income ₹44,324 crore


(US$6.2 billion)
[1] (2020)

Total assets ₹1,165,915 crore


(US$160 billion)[1] (2020)
Total equity ₹446,992 crore
(US$63 billion)
[1] (2020)

Owner Mukesh Ambani


(50.49%)[2]
Number of 195,618 (2020)[1]
employees

Subsidiaries Jio Platforms


(67.03%)
Jio Payments Bank
(70%)
Reliance Retail
Reliance Petroleum
Network18 Group
(64%)
Football Sports
Development Limited
Mumbai Indians
Alok Industries

Website www.ril.com

The company is ranked 96th on the


Fortune Global 500 list of the world's
biggest corporations as of 2020.[7] It is
ranked 8th among the Top 250 Global
Energy Companies by Platts as of 2016.
Reliance continues to be India's largest
exporter, accounting for 8% of India's total
merchandise exports with a value of
₹1,47,755 crore and access to markets in
108 countries.[8] Reliance is responsible
for almost 5% of the government of India's
total revenues from customs and excise
duty. It is also the highest income tax
payer in the private sector in India.[8][9]

History

1960–1980 …

The company was co-founded by


Dhirubhai Ambani and Champaklal
Damani in 1960's as Reliance Commercial
Corporation. In 1965, the partnership
ended and Dhirubhai continued the
polyester business of the firm.[10] In 1966,
Reliance Textiles Engineers Pvt. Ltd. was
incorporated in Maharashtra. It
established a synthetic fabrics mill in the
same year at Naroda in Gujarat.[11] On 8
May 1973, it became Reliance Industries
Limited. In 1975, the company expanded
its business into textiles, with "Vimal"
becoming its major brand in later years.
The company held its Initial public offering
(IPO) in 1977.[12] The issue was over-
subscribed by seven times.[13] In 1979, a
textiles company Sidhpur Mills was
amalgamated with the company.[14] In
1980, the company expanded its polyester
yarn business by setting up a Polyester
Filament Yarn Plant in Patalganga, Raigad,
Maharashtra with financial and technical
collaboration with E. I. du Pont de
Nemours & Co., U.S.[11]

1981–2000 …

In 1985, the name of the company was


changed from Reliance Textiles Industries
Ltd. to Reliance Industries Ltd.[11] During
the years 1985 to 1992, the company
expanded its installed capacity for
producing polyester yarn by over 1,45,000
tonnes per annum.[11]
The Hazira petrochemical plant was
commissioned in 1991–92.[15]

In 1993, Reliance turned to the overseas


capital markets for funds through a global
depository issue of Reliance Petroleum. In
1996, it became the first private sector
company in India to be rated by
international credit rating agencies. S&P
rated Reliance "BB+, stable outlook,
constrained by the sovereign ceiling".
Moody's rated "Baa3, Investment grade,
constrained by the sovereign ceiling".[16]

In 1995/96, the company entered the


telecom industry through a joint venture
with NYNEX, USA and promoted Reliance
Telecom Private Limited in India.[15]

In 1998/99, RIL introduced packaged LPG


in 15 kg cylinders under the brand name
Reliance Gas.[15]

The years 1998–2000 saw the


construction of the integrated
petrochemical complex at Jamnagar in
Gujarat,[15] the largest refinery in the world.

2001 onwards …

In 2001, Reliance Industries Ltd. and


Reliance Petroleum Ltd. became India's
two largest companies in terms of all
major financial parameters.[17] In 2001–02,
Reliance Petroleum was merged with
Reliance Industries.[12]

In 2002, Reliance announced India's


biggest gas discovery (at the Krishna
Godavari basin) in nearly three decades
and one of the largest gas discoveries in
the world during 2002. The in-place
volume of natural gas was in excess of 7
trillion cubic feet, equivalent to about 120
crore (1.2 billion) barrels of crude oil. This
was the first ever discovery by an Indian
private sector company.[12][18]
In 2002–03, RIL purchased a majority
stake in Indian Petrochemicals
Corporation Ltd. (IPCL), India's second
largest petrochemicals company, from the
government of India,[19] RIL took over
IPCL's Vadodara Plants and renamed it as
Vadodara Manufacturing Division
(VMD).[20][21] IPCL's Nagothane and Dahej
manufacturing complexes came under RIL
when IPCL was merged with RIL in
2008.[22][23]

In 2005 and 2006, the company


reorganised its business by demerging its
investments in power generation and
distribution, financial services and
telecommunication services into four
separate entities.[24]

In 2006, Reliance entered the organised


retail market in India[25] with the launch of
its retail store format under the brand
name of 'Reliance Fresh'.[26][27] By the end
of 2008, Reliance retail had close to 600
stores across 57 cities in India.[12]

In November 2009, Reliance Industries


issued 1:1 bonus shares to its
shareholders.

In 2010, Reliance entered the broadband


services market with acquisition of Infotel
Broadband Services Limited, which was
the only successful bidder for pan-India
fourth-generation (4G) spectrum auction
held by the government of India.[28][29]

In the same year, Reliance and BP


announced a partnership in the oil and gas
business. BP took a 30 per cent stake in
23 oil and gas production sharing
contracts that Reliance operates in India,
including the KG-D6 block for $7.2
billion.[30] Reliance also formed a 50:50
joint venture with BP for sourcing and
marketing of gas in India.[31]

In 2017, RIL set up a joint venture with


Russian Company Sibur for setting up a
Butyl rubber plant in Jamnagar, Gujarat, to
be operational by 2018.[32]

In August 2019, Reliance added Fynd


primarily for its consumer businesses and
mobile phone services in the e-commerce
space.[33][34]

Shareholding
Chairman and MD: Mukesh Ambani

The number of shares of RIL are approx.


310 crore (3.1 billion).[35] The promoter
group, the Ambani family, holds approx.
46.32% of the total shares whereas the
remaining 53.68% shares are held by
public shareholders, including FII and
corporate bodies.[35] Life Insurance
Corporation of India is the largest non-
promoter investor in the company, with
7.98% shareholding.[36]

In January 2012, the company announced


a buyback programme to buy a maximum
of 12 crore (120 million) shares for
₹10,400 crore (US$1.5 billion). By the end
of January 2013, the company had bought
back 4.62 crore (46.2 million) shares for
₹3,366 crore (US$470 million).[37]

Listing …

The company's equity shares are listed on


the National Stock Exchange of India
Limited (NSE) and the BSE Limited. The
Global Depository Receipts (GDRs) issued
by the Company are listed on Luxembourg
Stock Exchange.[38][39] It has issued
approx. 5.6 crore (56 million) GDRs
wherein each GDR is equivalent to two
equity shares of the company.
Approximately 3.46% of its total shares are
listed on Luxembourg Stock Exchange.[35]

Its debt securities are listed at the


Wholesale Debt Market (WDM) Segment
of the National Stock Exchange of India
Limited (NSE).[40]

It has received domestic credit ratings of


AAA from CRISIL (S&P subsidiary) and
Fitch. Moody's and S&P have provided
investment grade ratings for international
debt of the company, as Baa2 positive
outlook (local currency issuer rating) and
BBB+ outlook respectively.[41][42][43] On 28
December 2017, RIL announced that it will
be acquiring the wireless assets of Anil
Ambani-led Reliance Communications for
about ₹23,000 crores.[44]

Operations
The company's petrochemical, refining, oil
and gas-related operations form the core
of its business; other divisions of the
company include cloth, retail business,
telecommunications and special
economic zone (SEZ) development. In
2012–13, it earned 76% of its revenue
from refining, 19% from petrochemicals,
2% from oil & gas and 3% from other
segments.[36]
In July 2012, RIL informed that it was
going to invest US$1 billion over the next
few years in its new aerospace division
which will design, develop, manufacture,
equipment and components, including
aircraft, engine, radars, avionics and
accessories for military and civilian
aircraft, helicopters, unmanned airborne
vehicles and aerostats.[45]

On 31 March 2013, the company had 158


subsidiary companies and 7 associate
companies.[46]

Subsidiaries …
Jio Platforms Limited, essentially a
technology company, is a majority-
owned subsidiary of RIL. It is the result
of a corporate restructuring announced
in October 2019, resulting in all the
digital initiatives and the
telecommunication assets being
housed under this new subsidiary.[47]
This new subsidiary holds all the digital
business assets including Reliance Jio
Infocomm Ltd, which in turn holds the
Jio connectivity business - Mobile,
broadband and enterprise and also the
other digital assets (JIO Apps, Tech
backbone and Investments in other tech
entities like Haptic, Hathaway and Den
Networks among others.[48] In April
2020, RIL announced a strategic
investment of ₹43,574 crore
(US$6.1 billion) by Facebook into Jio
Platforms. This investment translated
into a 9.99% equity stake, on a fully
diluted basis.[49] Further in May 2020,
RIL sold roughly 1.15% stake in Jio
Platforms for ₹5,656 crore
(US$790 million) to the American private
equity investor, Silver Lake Partners.[50]
Intel became the 12th company to
invest in Reliance Jio platforms after it
invested ₹1,894.50 crore ($250
million),the total investments in Jio
platforms is ₹117,588.45 crore so far.[51]
On 16 July 2020, Google announced that
it will acquire a 7.7% stake in Jio
Platforms for ₹33,737 crore.[52]
Reliance Retail is the retail business
wing of the Reliance Industries. In
March 2013, it had 1466 stores in
India.[53] It is the largest retailer in
India.[54] Many brands like Reliance
Fresh, Reliance Footprint, Reliance Time
Out, Reliance Digital, Reliance Wellness,
Reliance Trends, Reliance Autozone,
Reliance Super, Reliance Mart, Reliance
iStore, Reliance Home Kitchens,
Reliance Market (Cash n Carry) and
Reliance Jewel come under the Reliance
Retail brand. Its annual revenue for the
financial year 2012–13 was ₹108 billion
(US$1.5 billion) with an EBITDA of
₹780 million (US$11 million).[36][55]
Reliance Life Sciences works around
medical, plant and industrial
biotechnology opportunities. It
specialises in manufacturing, branding,
and marketing Reliance Industries'
products in bio-pharmaceuticals,
pharmaceuticals, clinical research
services, regenerative medicine,
molecular medicine, novel therapeutics,
biofuels, plant biotechnology, and
industrial biotechnology sectors of the
medical business industry.[56][57]
Reliance Logistics is a single-window
company selling transportation,
distribution, warehousing, logistics, and
supply chain-related products.[58][59][60]
Reliance Logistics is an asset based
company with its own fleet and
infrastructure.[61] It provides logistics
services to Reliance group companies
and outsiders.[62] Merged content from
Reliance Logistics to here. See
Talk:Reliance
Industries/Archives/2013#Merge
proposals.
Reliance Solar, the solar energy
subsidiary of Reliance, was established
to produce and retail solar energy
systems primarily to remote and rural
areas. It offers a range of products
based on solar energy: solar lanterns,
home lighting systems, street lighting
systems, water purification systems,
refrigeration systems and solar air
conditioners.[63] Merged content from
Reliance Solar to here. See Talk:Reliance
Industries/Archives/2013#Merge
proposals.
Reliance Industrial Infrastructure
Limited (RIIL) is an associate company
of RIL. RIL holds 45.43% of total shares
of RIIL.[36] It was incorporated in
September 1988 as Chembur
Patalganga Pipelines Limited, with the
main objective being to build and
operate cross-country pipelines for
transporting petroleum products. The
company's name was subsequently
changed to CPPL Limited in September
1992, and thereafter to its present name,
Reliance Industrial Infrastructure
Limited, in March 1994.[64] RIIL is mainly
engaged in the business of setting up
and operating industrial infrastructure.
The company is also engaged in related
activities involving leasing and providing
services connected with computer
software and data processing.[65] The
company set up a 200-millimetre
diameter twin pipeline system that
connects the Bharat Petroleum refinery
at Mahul, Maharashtra, to Reliance's
petrochemical complex at Patalganga,
Maharashtra. The pipeline carries
petroleum products including naphtha
and kerosene. It has commissioned
facilities like the supervisory control and
data acquisition system and the
cathodic protection system, a jackwell
at River Tapi, and a raw water pipeline
system at Hazira. The infrastructure
company constructed a 71,000 kilo-litre
petrochemical product storage and
distribution terminal at the Jawaharlal
Nehru Port Trust (JNPT) Area in
Maharashtra.
Network 18, a mass media company. It
has interests in television, digital
platforms, publication, mobile apps, and
films. It also operates two joint ventures,
namely Viacom 18 and History TV18
with Viacom and A+E Networks
respectively. It also have acquired ETV
Network and since renamed its
channels under the Colors TV brand.
Reliance Eros Productions LLP, joint
venture with Eros International to
produce film content in India.[66]

Associates …

Relicord is a cord blood banking service


owned by Reliance Life Sciences. It was
established in 2002.[67] It has been
inspected and accredited by AABB,[68]
and also has been accorded a licence by
Food and Drug Administration (FDA),
Government of India.
Reliance Jio Infocomm Limited (RJIL)
previously known as Infotel Broadband,
is a broadband service provider which
gained 4G licences for operating across
India.[69][70][71]
Reliance Institute of Life Sciences
(RILS), established by Dhirubhai Ambani
Foundation, is an institution offering
higher education in various fields of life
sciences and related technologies.[72][73]
Reliance Clinical Research Services
(RCRS), a contract research organisation
(CRO) and wholly owned subsidiary of
Reliance Life Sciences, specialises in
the clinical research services industry.
Its clients are primarily pharmaceutical,
biotechnology and medical device
companies.[74]
LYF, a 4G-enabled VoLTE device brand
from Reliance Retail.[75]

Employees
As on 31 March 2018, the company had
29,533 permanent employees of which
1,521 were women and 70 were
employees with disabilities. It also had
1,58,196 temporary employees on the
same date which makes a total of 1,87,729
employees.[36] As per its Sustainability
Report for 2011–12, the attrition rate was
7.5%. But currently, the same attrition rate
has gone up to 23.4% in March 2015 as
per latest report released by the
organisation.[76]

In its 39th Annual General Meeting, its


chairman informed the shareholders of the
investment plans of the company of about
₹1,500 billion (US$21 billion) in the next
three years. This would be accompanied
by increasing the staff strength in Retail
division from existing strength of 35,000
to 120,000 in next 3 years and increasing
employees in Telecom division from
existing 3,000 to 10,000 in 12 months.[77]

Awards and recognition


International Refiner of the year in 2017
at Global Refining and Petrochemicals
Congress 2017 [78]
International Refiner of the Year in 2013
at the HART Energy's 27th World
Refining & Fuel Conference.[79] This is
the second time that RIL has received
this Award for its Jamnagar Refinery,
the first being in 2005.[80]
According to survey conducted by Brand
Finance in 2013, Reliance is the second
most valuable brand in India.[81]
The Brand Trust Report ranked Reliance
Industries as the 7th most trusted brand
in India in 2013 and 9th in 2014.[82][83]
RIL was certified as 'Responsible Care
Company' by the American Chemistry
Council in March 2012.[84]
RIL was ranked at 25th position across
the world, on the basis of sales, in the
ICIS Top 100 Chemicals Companies list
in 2012.[85]
RIL was awarded the National Golden
Peacock Award 2011 for its contribution
in the field of corporate sustainability.[86]
In 2009, Boston Consulting Group (BCG)
named Reliance Industries as the
world's fifth biggest 'sustainable value
creator' in a list of 25 top companies
globally in terms of investor returns over
a decade.[87]
The company was selected as one of
the world's 100 best managed
companies for the year 2000 by
IndustryWeek magazine.[11][88]
From 1994 to 1997, the company won
National Energy Conservation Award in
the petrochemical sector.[11]

Controversies
De-merger of RIL in 2005–2006 …

The Ambani family holds around 45% of


the shares in RIL.[89] Since its inception,
the company was managed by its founder
and chairman Dhirubhai Ambani. After
suffering a stroke in 1986, he handed over
the daily operations of the company to his
sons Mukesh Ambani and Anil Ambani.
After the death of Dhirubhai Ambani in
2002, the management of the company
was taken up by both the brothers. In
November 2004, Mukesh Ambani, in an
interview, admitted to having differences
with his brother Anil over 'ownership
issues'.[90] He also said that the
differences "are in the private domain". The
share prices [91] of RIL were impacted by
some margin when this news broke out. In
2005, after a bitter public feud between the
brothers over the control of the Reliance
empire, mother Kokilaben intervened to
broker a deal splitting the RIL group
business into the two parts.[92] In October
2005, the split of Reliance Group was
formalised. Mukesh Ambani got Reliance
Industries and IPCL. Younger brother Anil
Ambani received telecom, power,
entertainment, and financial services
business of the group. The Anil Dhirubhai
Ambani Group includes Reliance
Communications, Reliance Infrastructure,
Reliance Capital, Reliance Natural
Resources and Reliance Power.[93][94]

The division of Reliance group business


between the two brothers also resulted in
de-merger of 4 businesses from RIL.[95][96]
These businesses immediately became
part of Anil Dhirubhai Ambani Group. The
existing shareholders in RIL, both the
promoter group and non-promoters,
received shares in the de-merged
companies.[24]

Relationship with ONGC …


In May 2014, ONGC moved to Delhi High
Court accusing RIL of pilferage of 18
billion cubic metres of gas from its gas-
producing block in the Krishna Godavari
basin.[97] Subsequently, the two
companies agreed to form an independent
expert panel to probe any pilferage.[98]

Scams
Seminar magazine (2003) detailed
Reliance founder Dhirubhai Ambani's
proximity to politicians, his enmity with
Bombay Dyeing's Nusli Wadia, the exposes
by the Indian Express and Arun Shourie
about illegal imports by the company and
overseas share transactions by shell
companies, and the botched attempt to
acquire Larsen & Toubro.[99]

As early as 1996, Outlook magazine


addressed other controversies related to
fake and switched shares; insider trading;
and a nexus with the state-owned Unit
Trust of India. Five main allegations
concerning Reliance, and which have
plunged the Indian capital markets into a
period of uncertainty unsurpassed since
the days of the securities scam were:

Reliance issued fake shares.


It switched shares sent for transfer by
buyers to make illegal profits.
It has indulged in insider trading in
shares.
It established a nexus with the Unit Trust
of India to raise huge sums of money to
the detriment of UTI subscribers.
It attempted to monopolise the private
telecom services market through front
companies.[100]

Insider trading …

Stock market fraud regulator Securities


and Exchange Board of India (Sebi) issued
a show-cause notice to Reliance Industries
Ltd. following a probe into alleged insider
trading in Reliance Petroleum Ltd (RPL)
shares in November 2007. SEBI probed
transactions by entities that participated in
and led to some three months of
speculative rally after which the RPL stock
surged to an all-time intraday high of ₹295
on 1 November 2007. In a separate and
independent investigation related to the
same issue, the income-tax (I-T)
department looked at possible tax evasion
by a dozen entities that Mukesh Ambani-
owned RIL acknowledged to be its
"agents".[101]
In Jan 2011, Sebi barred Anil Ambani and
four other officials of Reliance Group—until
recently known as the Reliance-Anil
Dhirubhai Ambani Group (R-Adag)—
companies from investing in listed shares
until December 2011. Two group firms,
Reliance Infrastructure Ltd (R-Infra) and
Reliance Natural Resources Ltd (RNRL)
were barred from making such investment
until December 2012. According to Sebi's
investigations, R-Infra and RNRL were
prima facie responsible for
misrepresenting the nature of investments
in yield management certificates/deposits,
and the profits and losses in their annual
reports for the fiscal years 2007, 2008 and
2009. It also found misuse of FII
regulations. The then minister of state for
finance Namo Narain Meena, on 1
December 2009, in a written response to a
query raised in the Upper House of
Parliament, said that three firms of R-Adag
—R-Infra, RNRL and RCom—had violated
overseas debt norms. These end-use
violations were observed by the Reserve
Bank of India (RBI) regarding two ECB
transactions—of $360 million and $150
million—by R-Infra.[102]

In another case, Sebi settled a dispute with


Reliance Securities Ltd (RSL) with a
consent order in June 2011, under which
the brokerage will spend ₹1 crore within
six months on investor education and not
add any new clients for 45 days starting
15 June. In the settlement, it was also
added that the brokerage will also pay ₹25
lakh towards settlement charges. This
order followed a Sebi investigation into
RSL's books and accounts for fiscal 2007
and fiscal 2008, which said that it had
allegedly violated various clauses of Sebi
stock brokers and sub-brokers regulations.
The Sebi inquiry cited 20 irregularities,
including the brokerage not informing
clients about various charges at the time
of opening accounts. RSL sought power of
attorney in the name of Reliance
Commodities Ltd from clients and used
this to debit clients’ bank accounts,
purchase and sell post office deposits and
government of India bonds among other
transactions. Brokerage, not fully equipped
to handle its customer base at the time,
used the name Reliance Money at all its
offices and on employee visiting cards,
instead of Reliance Securities, which was
the registered trading member, leading to
confusion. Brokerage was found to have
received funds from other client bank
accounts other than the ones available to
it, thus failing to have a sound third-party
check on the receipt of payments. RSL had
failed to update client details despite the
stock exchanges pointing this out in their
inspection reports. The Sebi inquiry also
said RSL collected higher Securities
Transaction Tax from its clients in 2006–
2008, allotted more than one terminal in
the same segment for a single user, and
also collected cheques in the name of
Reliance Money. Brokerage also did not
maintain clear segregation between
broking and other activities of group
companies. Further, there were frequent
disruptions in the brokerage's trading
platform, which showed connectivity
problems at the applicant's end.[103]
NICL …

The Central Bureau of Investigation (CBI)


filed a chargesheet in a Mumbai court
against Reliance Industries Limited (RIL)
and four retired employees of National
Insurance Company Limited (NICL),
including a former CMD, under provisions
of the Prevention of Corruption Act for
criminal conspiracy and other charges.
Acting on a reference from CVC in March
2005, the CBI started probing the
conspiracy that led to the filing of the
chargesheet on 9 December 2011. The
2005 complaint had alleged irregularities
in issuance of insurance policies — for
coverage of default payments — by NICL
to RIL. Chargesheet also mentioned
criminal offences with dishonest intention
and causing wrongful loss totalling
₹147.41 crore to NICL and wrongful gain
to the private telecom provider.[104]

Two retired senior officials of National


Insurance Company Limited and 11 others
were awarded varying jail terms by a Delhi
court in Jan 2014.[105]

RIL plane grounded …

A business jet owned by Reliance


Industries (RIL) was grounded by The
Directorate General of Civil Aviation
(DGCA) on 22 March 2014 during a
surprise inspection, for carrying expired
safety equipment on board; its pilot was
also suspended for flying without a
licence.[106]

Krishna Godavari (KG) Basin gas …

The Reliance Industries Limited (RIL) was


supposed to relinquish 25% of the total
area outside the discoveries in 2004 and
2005, as per the Production Sharing
Contract (PSC). However, the entire block
was declared as a discovery area and RIL
was allowed to retain it. In 2011, the
Comptroller and Auditor General of India
(CAG) criticised the Oil Ministry for this
decision. The CAG also faulted RIL for
limiting the competition in contracts,
stating that RIL awarded a $1.1 billion
contract to Aker on a single-bid
basis.[107][108]

Petition against Reliance Jio …

A PIL filed in the Supreme Court by an


NGO Centre for Public Interest Litigation,
through Prashant Bhushan, challenged the
grant of pan-India licence to RJIL by the
Government of India. The PIL alleged that
RJIL was allowed to provide voice
telephony along with its 4G data service,
by paying an additional fees of just
INR16580 million (US$280 million)
arbitrary and unreasonable, and
contributed to a loss of INR228420 million
(US$3.8 billion) to the exchequer.[109][110]

The CAG in its draft report alleged rigging


of the auction mechanism, whereby an
unknown ISP, Infotel Broadband Services
Pvt Ltd, acquired the spectrum by bidding
5000 times its net worth, after which the
company was sold to Reliance
Industries.[111]

See also
List of companies of India
List of largest companies by revenue
List of corporations by market
capitalisation
Make in India
Forbes Global 2000
Fortune India 500

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External links
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title=Reliance_Industries&oldid=1008710599"

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