RIL Expands Real Estate Empire with Major Investment in Navi Mumbai

Billionaire Mukesh Ambani's Reliance Industries Limited (RIL) has taken a significant step in the real estate sector by acquiring a 74% stake in Navi Mumbai IIA Private Limited (NMIIA). The oil-to-data-to-FMCG conglomerate will invest ₹1,628 crore in this venture, further bolstering its presence in the commercial real estate market.

NMIIA is a company that focuses on developing an Integrated Industrial Area (IIA) in the state of Maharashtra. Following this deal, NMIIA has become a subsidiary of RIL. RIL has purchased 57,12,39,588 shares of NMIIA at the rate of ₹28.50 per share. The remaining 26% stake in NMIIA is held by the City and Industrial Development Corporation of Maharashtra Limited (CIDCO).

NMIIA was established on June 15, 2004, and is recognized as a 'Special Planning Authority' under the Maharashtra Regional and Town Planning Act, 1966. The company has been appointed by the Maharashtra government to oversee the planning and development of the IIA. NMIIA has achieved a turnover of ₹34.89 crore in FY24, ₹32.89 crore in FY23, and ₹34.74 crore in FY22.

RIL's foray into India's real estate sector began in 2023 when it established a wholly-owned subsidiary named 'Reliance SOU Limited' (RSOUL). This real estate arm was intended to develop properties for commercial use in the country. In addition to this, the Reliance group is already in the process of constructing a greenfield smart city near Gurugram, Haryana.

In another significant development, Ira Bindra has been appointed as the Group President of RIL's HR Department. At 47, Bindra is the first female member outside the Ambani family to join the group's executive committee and is also the youngest woman in the committee. Prior to joining RIL, Bindra served as the HR Head and Vice President of Global Regions at Medtronic USA. She holds a B.A. from Lady Shri Ram College, Delhi, and an M.B.A. from Maastricht School of Management, Netherlands. Before joining Medtronic in May 2018, she worked with GE Capital, GE India, GE Healthcare, and GE Oil & Gas.

These strategic moves by RIL not only highlight the company's commitment to diversification but also underscore its intent to play a significant role in India's infrastructure and real estate sectors.