Mukesh Ambani has stepped down as the Director of Reliance Jio - the Digital vertical of Reliance Industries. His elder son, Akash Ambani, has been named the new Chairman of Reliance Jio. Reliance Jio Infocomm Ltd has announced that Akash Ambani will take over the reins of Reliance Jio effective June 27, 2022. In addition to it, Pankaj Mohan Pawar, KV Chowdary and Raminder Singh Gujral have been appointed as the Managing Director and Independent Directors of Reliance Jio respectively.
The approval for the appointment of Akash Ambani as the Chairman of the Board of Directors of Reliance Jio was announced by the company during a Stock Exchange filing. The decision regarding the same was taken at a board meeting that took place on June 27. This step by the 65-year-old billionaire is speculated as a succession planning exercise by many analysts.
Akash played an instrumental role in the “JioPhone Revolution” that took people out from the 2G space to the 4G space.
The stock market responded bullishly to this move of Mukesh Ambani handing over the responsibilities of Jio to his elder son. Reliance Industries stock traded 1.49% higher on BSE and 1.50% on NSE compared to its Monday closing price.
Mukesh Ambani quoted in 2021 that the spark and potential to contribute to the growth of India he sees in his children reminded him of his father - Dhirubhai Ambani. Now that he has been declared the Chairman of Reliance Jio, it is worth seeing if he can replicate his JioPhone revolution in the highly competitive digital ecosystem going forward.