IIPM Mission

On the other hand, ADAG’s financial arm, Reliance Capital, is yet to gain altitude. Its insurance business is still in its infancy (it will be another year, or even two, before it can actually be considered a major in its sector). Then there is the shopper Anil, ready to dip his fingers into the retail pie. While on one hand Reliance Communications Limited already has a considerable retail presence through its chain of 241 ‘Reliance World’ outlets scattered across 105 cities, the other signs of the retail foray are evident with his financial arm – Reliance Capital – investing in Giny & Jony and Vishal Retail Stores. The company is also currently exploring options of tying up with Starbucks, the global coffee giant. Considering that ADAG has invested a total of Rs.2,300 crores by way of equity in Reliance Capital (by far the single largest investment by any professional entrepreneur in the country), the results are not going to be visible any time soon in the already overcrowded and dynamic Indian financial sector. But as Anil Ambani says: “The investment is a reflection of my personal conviction in the vast potential of the financial services sector, and the long term growth prospects of Reliance Capital”

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Editor: Arindam Chaudhuri

Source: IIPM Publication and Business & Economy

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