Tatas overtake both Reliance groups in market value

20 Jun 2011

Reliance Industries Ltd, the business empire of India's richest man Mukesh Ambani, had once been dubbed by the media as India's most valuable company; with brother Anil Ambani's Reliance ADAG not too far behind.

But now it emerges that the venerable Tata Group has left them both far behind, at least in terms of market capitalisation.

The widely-diversified Tata Sons, with Ratan Tata as chairman, is now the largest conglomerate in India, having overtaken the market value of the combined 'Ambani empire' of both Mukesh and Anil.

The market capitalisation of the Tata Group is close to Rs4,25,000 crore, whereas the total wealth of all the listed companies of the now separated brothers Ambani comes to Rs3,67,000 crore.

The wealth created by the Tata firms for shareholders, over the past year or so has increased by approximately Rs1 lakh crore thanks to good performances by TCS, Tata Motors and Tata Steel, say reports.

Share prices have lately been tumbling for both the Reliance groups. Analysts blame the controversies in the affairs of both groups – while Anil's Reliance Communications is deeply involved in the '2G spectrum scam', Mukesh's RIL is being questioned for not producing enough gas from its Krishna-Godavari field.