Reliance overtakes Exxon to become world's second-largest energy firm

Mukesh Ambani-owned Reliance Industries has become the second-largest energy company, only behind Saudi Aramco, after overtaking American oil company ExxonMobil Corporation, reported Indian Express.

According to the report, the total market value of Reliance increased by 4.3 per cent to $189 billion. The company’s Jamnagar refinery is the world’s largest oil refinery. On the other hand, Exxon Mobil lost around $1 billion, the report said. Aramco, being the top energy company, has a market value of $1.75 trillion.

As refiners across the world have been grappling with the declining fuel demand, the shares of Reliance Industries has increased by 46 per cent, while Exxon’s shares have fallen 39 per cent, the report added.

On March 23, 2020, Reliance share price had touched a bottom of ₹867, when the total market value of the company stood at ₹5.5 lakh crore or $73.5 billion.

It added $115.9 billion to shareholder wealth within just four months one of the highest value creation feats in the world in such a short time — mostly on the back of record fundraising from equity dilution in its digital unit, Jio Platforms.

The firm added $39 billion market value within five weeks and $29 billion in the last 14 trading sessions. Reliance raised a total of ₹2,12,809 crore through Rights Issue, equity sale in Jio Platforms, and investment by BP in its fuel retailing venture.

(With inputs from agencies)