Decoding the Reliance AGM


Well-Known Member
TLDR - mixed bag - lots of misses, few hits. Overall disappointing for the day - but lot of potential for the future.

This was an AGM I was eagerly waiting for. Because this was the AGM that I expected would set the tone for Reliance and India, for the next decade. For multiple reasons. The journey on Telecom and Retail have reached maturity and self sustainability. And the company now has the financial wherewithal to embark on entirely new journeys.

We did see a fascinating vision regarding the Oil-to-chemicals business. To put it simply, Energy is being refocused on Clean/Green Renewable on one hand, and Gas on the other hand. The entire existing Energy vertical is being transitioned into Chemicals and Materials behemoth. Both of these initiatives are fascinating, and massive - no doubt about it. Curiously, they referred to 4 Giga Factories being set up - a term that Elon Musk also uses, in the EV and battery space :)

They showcased a lot of great ways how Reliance stepped up to tackle the crisis during the second wave. And Mukesh Ambani even mentioned that we have to be better prepared, so that we aren’t hit by this sort of thing.

But sadly, there was no long term strategic vision beyond some actions done over last one year. I was expecting a roadmap to transform education - stitching together device (JioBook), network (Jio) and content (video and digital textbook) with the typical Reliance scale, to solve India’s education challenge for good.

I was hoping for Reliance to announce some serious steps in healthcare - both in terms of physical and digital infrastructure to tackle our health infrastructure deficit at scale, for long term.

While Saudi Aramco chairman joining board was good, the delay in consummation of $15B investment wasn’t good. Also no announcement of demerger, Jio/Retail IPO, or even Dividend or Bonus! What on earth was that about? Why would you announce a Record Date as June 14th, and forget to announce Dividend??

JioPhone Next being a 4G device was a serious miss - why would you hobble your brand new 5G network with an army of 4G devices?

That being said, there were hints on how education and healthcare could become priority areas for future. Let’s hope Reliance unveils a massive power play in this space.

Reliance is the torchbearer for India. And the entire country needs Reliance to step up and play the game in the way only Reliance can - to tackle grassroots challenges in Education and Healthcare.

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