Once 6th richest man, Anil Ambani isn't a billionaire now
What's the story
Anil Ambani, the chairman of Reliance Communications, may have fallen out of the billionaire club. Dealing with a pile of debt, the net worth of the younger Ambani brother is believed to have plummeted below the billion-dollar mark. This is a drastic turn of events, especially considering that he was one of the richest persons in the world nearly a decade ago. Here's more.
Estimate
Ambani's net worth estimate
Reportedly, after Tuesday's trading close, the total market capitalization of all Reliance Group companies under him stood at $773 million or Rs. 5,400 crore. Now, as Mr. Ambani holds less than 75% stake in each of the six Reliance Group companies, the market value indicates his net worth has fallen below $1 billion. In 2008, his net worth was a whopping $42 billion.
Information
These are the companies under him
The listed companies in Reliance Group (forming the basis of Mr. Ambani's net worth) include Reliance Infrastructure, Reliance Naval & Engineering, Reliance Power, Reliance Capital, Reliance Home Finance and Reliance Communications.
Difference
Anil and Mukesh started out with nearly the same wealth
To note, in 2005, brothers Anil and Mukesh started out with nearly the same amount of wealth after the division of their family business. Mukesh held the Oil and Gas business, while Anil took control of Reliance Communications and Capital. However, three years after going neck to neck, Anil's net worth started falling and the wealth gap between the two grew bigger.
Issues
Anil's net worth was cut by more than half
In late 2008-09, Anil Ambani's net worth of $42 billion was cut nearly by 75%, coming down to $10 billion by mid-2009. The fall was triggered by the global financial crisis of 2008 and later followed by a steady decline stemming from challenges faced by Reliance Group. Forbes' figures (considering all listed, unlisted companies, assets) indicate his worth plummeted to $1.5 billion in 2019.