The shareholders of Reliance Industries Limited (RIL) have approved Isha, Akash, and Anant Ambani’s appointment as non-executive directors of the business. This development was revealed on Friday in a stock exchange filing.
Details on Shareholders approve the children of Mukesh Ambani to join the Reliance board
In the wake of the announcement made prior to RIL’s Q2FY24 results, the company’s shares increased 1.8%.
The announcement comes after chairman of Reliance Mukesh Ambani discussed his succession planning for India’s most valuable private sector enterprise during the company’s 46th Annual General Meeting.
Mukesh Ambani voiced his belief that his three children, Anant, Akash, and Isha, will be able to assume important roles in the company’s several business divisions.
“Akash and Isha, respectively, now hold executive positions at Jio and Retail. Since the beginning, they have taken a keen interest in our consumer companies. Anant has also enthusiastically jumped into our New Energy business. At the AGM, Mukesh Ambani stated, “He is actually residing in Jamnagar for the majority of the time.”
In addition, he emphasized that the next generation of Ambanis is part of a group of young professionals and leaders who are already making significant progress at Reliance. The board of directors and key executives of the company, including Mukesh Ambani, provide daily direction and mentorship to the three siblings.
The local proxy advice firm Institutional Investor advice Services (IiAS) had recommended that Reliance shareholders vote against Anant Ambani’s appointment to the conglomerate’s board, despite the fact that Reliance’s leadership has expressed significant confidence in this succession plan. Furthermore, investors were advised to take a similar position by Institutional Shareholder Services (ISS), a US-based organization.
The main issue brought up by IiAS was Anant’s age, which is 28 years old and out of compliance with their voting rules. However, ISS emphasized that he had only six years of board and leadership experience.
In spite of the concerns expressed by the companies, Reliance’s shareholders have overwhelmingly approved the company’s succession plan.
