Reliance AGM 2024: 10 key things investors eye as Mukesh Ambani addresses 3.5 mn shareholders today

Reliance AGM 2024: Mukesh Ambani-led Reliance Group's flagship Reliance Industries Limited is all set for its 47th Annual General Meeting (AGM) on Thursday, August 29, 2024. Investors are anticipating several large-spectrum initiatives and declarations. Here are 10 things that investors are looking forward from the Reliance AGM 2024:

Timeline for Reliance Jio and Reliance Retail IPO

Of course, one of the most-wanted announcements is on the IPO timeline for Reliance Jio and Reliance Retail. First hinted at during the 2019 AGM, these IPOs are expected to unlock significant value. If analysts at Jefferies, among others, are to be believed, Jio may go public as early as 2025 for an estimated valuation of about US$112 billion.

Strategic stake sale in Oil-to-Chemical (O2C) business

Investors are also looking forward to any update on strategic stake sale in Reliance's O2C segment. For this, a concrete plan concerning the names of potential buyers, transaction values, strategic benefits due to the sale could be a key highlight of the AGM.

Progress on New Energy Ventures

With significant investment in green energy projects, the developments of these projects are closely watched. RIL plans to invest $1 billion in FY24 for the solar manufacturing business and any announcements related to the timeline of project commissioning or likely earnings resulting thereof may drive the market sentiment.

5G Monetisation Plans

The insight into ways in which it will monetise its Reliance Jio 5G network will be a major talking point. Investors look to hear specific information about the company's plan for leveraged use of 5G technology in driving revenue growth, including strategic partnerships and plans for international expansion.

Management Succession

Any update on succession plan for Reliance Industries will be watched at this AGM. The blueprint on 2022 by Mukesh Ambani had placed Isha Ambani at the helm of retail, Akash Ambani at the helm of Jio, and Anant Ambani in charge of energy business. More details of management succession plan are expected during this AGM.

Debt reduction plans

Investors will be eager to hear about the plans of RIL to reduce debt. The capex in the retail business for Reliance was reported to be lower in FY24 - that is progress. Investors would expect more clarity on the strategy of the management for debt reduction.

Investors will also be keenly awaiting operational details on how the merger of RIL's media assets with Walt Disney Co. is likely to take effect and what it would do to the overall portfolio mix of the company after the recent merger approval.

Share buybacks or dividend hikes

Speculation runs high over likely share buybacks or increasing dividends, signaling confidence in financial health and long-term growth.

Media Asset Updates

More detail around the assimilation and likely impact on the overall portfolio of RIL's media assets following recent approval for a merger with Walt Disney Co. will be sought after by investors.

Environmental, Social, and Governance (ESG) Initiatives

Going ahead, as ESG aspects turn out to be a key agenda among global investors, any announcements with regard to RIL's commitment to sustainability and improvement in governance could continue to remain the focus of discussion during this AGM.

New Strategic Ventures

There is much speculation over the possible declaration of new strategic moves that RIL may announce at the AGM, either through a strategic partnership or an acquisition in line with the firm's long-term vision.