Anil Ambani eyes Reliance banking foray

Anil Ambani eyes Reliance banking foray

Watching regulatory developments

Anil Ambani eyes Reliance banking foray

Addressing the shareholders of Reliance Capital at its AGM here, Ambani said the banking entity of the group in all probability will be named ‘Reliance Bank.’

Reiterating the group’s interest in setting up a bank, Ambani said banking was a new growth opportunity and it would evaluate opportunities to enter this high growth sector.  It was keeping track of all regulatory developments on this front, he said, adding that significant under-penetration of financial products and services in India would continue to create immense opportunities for future growth.

Earlier this year, Reliance Capital signed a deal with Japan’s Nippon Life for sale of 26 per cent stake in Reliance Life Insurance for over Rs 3,000 crore in the country’s largest-ever finance services sector FDI transaction. Recently, it also signed a MoU with Nippon Life for evaluating collaboration opportunities — including a strategic partnership — across all Reliance Capital-promoted financial businesses.

Ambani said talks for a stake sale in its asset management business to Nippon were also in advanced stages. In addition, the company would consider a stake sale in other businesses, like general insurance, as well.

Further, the company said it also plans to take its asset management businesses to other emerging markets and would look at further expansion of its wealth management and private equity businesses. 

Ambani pointed out that Reliance Capital has become the country’s largest NBFC, with a net worth of nearly Rs 8,000 crore, more than 2 crore customers and 8,000 offices across the country with a staff strength of over 18,000 people.