Image Credits: Deccan Herald,India TV News
Yasir Al-Rumayyan, the chairman of Saudi Aramco and Governor of the Kingdom’s wealth fund known as Public Investment Fund (PIF), may be initiated on the board of Reliance Industries (RIL). He is a predecessor to a $15-billion deal, said reports.
The announcement regarding the induction of Al-Rumayyan’s to the Reliance Industries board or that of recently created oil-to-chemical (O2C) unit may be declared as soon as June 24 during the company’s annual shareholder meeting.
HSBC Global Research mentioned in a report that the RIL’s annual general meeting (AGM) over the past years has been an eagerly watched event which was earlier attended by 3,000 shareholders when conducted in physical format and last year there were 300,000 concurrent viewers of the virtual AGM spanning across 42 countries and 468 cities. It is one of the top 3 companies by market capitalisation in India, and to add to that, has a large free float, and a large public shareholding. The expectations for this years AGM are high.
Mukesh Ambani in August 2019 has made an announcement regarding talks about the sale of a 20 per cent stake in the O2C business, which includes its twin oil refineries at Jamnagar in Gujarat and petrochemical assets, to the world’s largest oil exporter. Though this deal was set to be made in March 2020, the deal was delayed for reasons that have not been mentioned yet.
Talks have been restored this year and the two as per reports are in discussion regarding a cash and share deal in which Aramco will be paying for the stake with its shares initially and then staggered cash payments over the years.