Mukesh hails truce with brother at Reliance AGM; Anil doesn't attend

There were no major surprises at the Reliance AGM at least as far as a family reunion was concerned. At 11am RIL Chairman Mukesh Ambani walked into the Mumbai's Birla Matoshree auditorium to deliver his address. At his side were his mother Kokilaben and wife Neeta Ambani.

Missing in action was younger brother Anil whom many expected to turn up as a sigh of the truce between the two brothers.

Mukesh started his address by reiterating Dhirubhai's vision of creating a world class enterprise.

But soon the focus was on the truce and its antecedents. Mukesh recounted the Supreme Court decision on the KG basin gas row with brother Anil highlighting the fact that the apex Court upheld RIL's stand. He promised that the company will commence supply of gas to ADAG group as and when their plants are operational.

Mukesh then said that he was looking forward to a harmonious and constructive relationship with Anil's ADAG Group.

The biggest announcement Mukesh made was about the company's foray into the power sector. He said that RIL is drawing up specific plans for mega investment in coal, hydro and nuclear power projects.

The two brothers had agreed to dump their differences and non-compete agreements on 23 May. This allowed the two companies to compete in to each others businesses. However, as a goodwill gesture, RIL said that it would not enter the gas-based power generation arena till 2022.

The markets, anticipating a drama at the AGM, were mute in reaction. The Sensex, barometer of the Bombay stock exchange, fell 0.16 per cent.

RIL's share fell 0.21 per cent to Rs 1,069. Anil's ADAG companies stocks, however, sold off.

RNRL declined 6.41 per cent after Mukesh said that the company will start gas supply to ADAG once their plants are ready.

Reliance Media declined 4.54 per cent. Reliance Capital declined 2.10 per cent.

Reliance Communications declined 2.38 per cent. Mukesh Ambani announced his company's foray into telecom.

RIL announced a dividend of Rs 7 per share for the 2009-10 fiscal. That is 70 per cent on the face value of Rs 10.

Source http://www.ndtv.com/news/business/mukesh-hails-truce-with-brother-at-reliance-agm-anil-doesnt-attend-32480.php