World’s largest oil producer Saudi Aramco has agreed to pick up a 20% stake Reliance Industries (RIL’s) oil to chemicals (O2C) business at an enterprise value of $75 billion, marking the biggest foreign investment in the history of RIL and one of the largest foreign investments in India.
Both companies have signed a non-binding Letter of Intent (LOI) regarding a proposed investment in the O2C division comprising the refining, petrochemicals and fuels marketing businesses of RIL.
Confirming the development, Mukesh Ambani, chairman and managing director, RIL at the company’s 42 Annual General Meeting told the shareholders, “Since its inception, our Jamnagar refinery has been processing Saudi oil every single day for 20 years. Now we have transformed our longstanding relationship of two decades, based on mutual trust, into a Partnership of growth potential for many more years. I feel privileged to welcome Saudi Aramco, which is the largest business enterprise in the world.”
