Mukesh Ambani, India's richest man, has launched the country's largest ever share sale, a move that could funnel billions of pounds into London's financial markets. The Reliance Industries chairman is selling a 3.3% stake in his retail arm, Reliance Retail Ventures, in a deal worth £1.5 billion. This is part of a broader push to list the conglomerate's digital and retail units on the London Stock Exchange within two years.
The mammoth sale, which opened on Monday, dwarfs previous Indian offerings and marks a significant shift in capital flows. London, eager to attract foreign listings post-Brexit, stands to gain a substantial windfall in fees and prestige. Analysts predict the eventual flotation of Jio Platforms, Reliance's telecoms and digital subsidiary, could top £50 billion, making it one of the largest listings in British history.
But for workers and unions back in India, the news is met with caution. Reliance has faced criticism over labour practices and wage stagnation, with union leaders warning that such massive capital events often bypass the very people who build the business. “This sale lines Ambani's pockets, but what about the millions of workers in his supply chain?” said a spokesperson for the All India Trade Union Congress. “We need guarantees on wages and conditions, not just stock market glamour.”
In London, the City is buzzing. Banks including Goldman Sachs, Morgan Stanley, and Barclays are circling, eager to underwrite the listings. The UK government sees this as a vote of confidence in its post-Brexit financial rules, which were relaxed to attract more international companies. “This is a global endorsement of London's capital markets,” said a Treasury source.
Yet critics point out that such inflows often mask deeper regional inequality. The North of England, still reeling from industrial decline, sees little trickle-down from Mumbai's stock market bonanza. “Ambani's billions don't heat my home or feed my kids,” said a steelworker from Sheffield, echoing a sentiment that resonates across the UK's deindustrialised heartlands.
For now, the share sale proceeds are aimed at cutting Reliance's debt and funding expansion. But the real test will be whether the promised London listings deliver for those who need it most: workers on both continents, struggling against the tide of global capital.
