Reliance Industries' Strategic Acquisition in Gujarat

Mukesh Ambani-led Reliance Industries is set to acquire a significant 74% stake in Nauyaan Shipyard from Welspun Corp, owned by B K Goenka, for Rs 383 crore. This strategic move grants Reliance access to 138 acres of leasehold land in Dahej, Gujarat, near its petrochemical manufacturing facility.

Transforming Maritime Land into Green Manufacturing Hubs

Reliance plans to utilize the acquired land for building facilities dedicated to salt storage, brine preparation, and hydrogen electrolyser manufacturing, marking a significant step forward in its green hydrogen initiatives. The company will also gain rights to use foreshore land, enhancing its operational capabilities.

Transaction Structure and Future Plans

The acquisition involves Reliance purchasing 100% of Nauyaan Tradings from Welspun Tradings for Rs 1 lakh, followed by Nauyaan Tradings acquiring 74% of Nauyaan Shipyard from Welspun Corp for Rs 383 crore. With a total valuation of Rs 644 crore, including debt and equity, Reliance's plans signify a shift from traditional maritime activities to green manufacturing, aligning with its establishment of Reliance New Energy and its ambitions in the electrolyser sector.