Asia’s richest businessman Mukesh Ambani is working on a strong plan to hand over his legacy. His effort is to make such a plan, so that later there will be no dispute between his sons and daughter. The reason is that he himself went through this path. For this, he is also studying the succession model of billionaires around the world.
Mukesh Ambani, 64, has two sons and a daughter. They want to divide their business of about $208 billion among them. For this they have been preparing succession plan for many years. He is studying the success plans of the rich around the world. This includes everything from the Waltons to the Koch family. Mukesh Ambani has now expedited the work on finalizing this success plan.
Mukesh likes two plans
Model of the Walton family of Walmart
After the death of the company’s founder Sam Walton in 1992, the transfer of his business was managed. The Waltons, the world’s richest family, had handed over the company’s day-to-day business to managers since 1988. After this a board was made to keep an eye on it. Sam’s eldest son Rob Walton and his nephew Stuart Walton are on Walmart’s board.
In 2015, Greg Panner, Sam’s Grandson in-law, was appointed chairman of the company. However, it was criticized a lot because the family was being given more preference than the shareholders. Sam started the succession plan in 1953, 40 years before his death. According to this, he had divided 80% of the business among 4 children.
2. Putting the Holding in the Trust
Mukesh wants to put the family’s holdings in a trust that will control the country’s largest company Reliance Industries. Mukesh Ambani, Nita Ambani and their three children will have a stake in this new trust. All these people will be included in its board. As per the plan, the board will also include those closest to the Ambani family. The Reliance company will run through a professional management.
Reliance’s business is in refining, petrochemicals, telecom including retail and e-commerce. This management will look after Reliance as well as its other business.
Mukesh still actively running business
Actually, till now Mukesh Ambani is actively running the business. Along with him, his three children are also playing an important role in the business. They have three children Akash, Anant and Isha. These three people have been presenting their business from time to time in all the events of Reliance.
Biggest property dispute of Mukesh and Anil
By far the biggest family dispute in corporate in the country happened between Mukesh and his younger brother Anil Ambani. The reason for this was that Dhirubhai Ambani, who started Reliance, did not plan a successor. After his death in 2002, disputes between the two brothers came to the fore and due to this Reliance had to be divided into two parts.
Mukesh got a significant share in the partition, small companies came in Anil’s account
Communication, power and capital business came in Anil’s part. Mukesh got the most important Reliance Industries. Mukesh later started telecom, retail and many other new businesses as well. Today his telecom company Jio is the second largest company in the world. Jio is valued at Rs 6 lakh crore, while Reliance Retail is valued at Rs 5.5 lakh crore. They are also playing big bets in e-commerce.
Anil went bankrupt today, started on spirituality
Anil Ambani is insolvent as of today. Their companies are being sold. They are trying to save their companies. His Mumbai headquarter has also been taken over by Yes Bank, as the company could not repay the bank’s loan. Anil Ambani, 63, is still working 14-16 hours a day and is on the path of spirituality. Mukesh Ambani is today the 11th richest businessman in the world with a net worth of $ 95 billion, in the telecom where Anil went bankrupt, Mukesh is showing his reign in the same telecom today.
Reliance was growing rapidly in 1980-90
The decade of 1980-90 was crucial for Reliance under the leadership of Dhirubhai Ambani. The dispute between Anil and Mukesh had to be settled by his mother Kokilaben. In 2004, when the controversy came to a boil, Kokilaben explained to both of them. However, this dispute later continued for 5 years. It is a different matter that recently Mukesh Ambani helped Anil many times, due to which he escaped from going to jail. Anil was also seen with the family with utmost promptness in the marriage of Mukesh’s son.
At present, Mukesh Ambani is working on both business and success plans simultaneously. They are going to be a big bet in green energy. He has made Reliance strong in many sectors.