RIL sells stake to Saudi Aramco, signs JV with BP Plc
In one of the largest foreign investments ever to be made in India, Reliance Industries Ltd ( RIL ) has decided to sell 20% stake in its oil business to Saudi Aramco , the world’s largest oil company producing one in every eight barrels of crude oil globally. The deal value is estimated to be around $15 billion --- at an enterprise value of $75 billion -- and money received by RIL will be used partly to pare the company’s debt. This is the fourth divestment announced by the company this year. Also, RIL had signed a pact with BP Plc to form a joint venture in the petroleum retailing business, in which RIL will hold 51% stake and the company and will get Rs 7,000 crore from BP Plc. These two deals further outline RIL’s strategy that it wants to move into the technology sector as a part of the company’s efforts to expand its consumer-facing businesses. Moreover, these two deals, and another one signed earlier to sell stake in its telecom tower arm to Canadian investment firm Brookf...