Anil Ambani- The Energy Man of india

The Energy Man of India
By: Asheesh Shah

Some time back I had written an article in ‘The Pioneer’ (28 September 2006) where in I referred to the acquisition of steel company Arcellor by LN Mittal as the Mittal effect. For the readers of The Economic Times, I have defined the Miller effect as a phenomenon that has given Indians a new identity especially in the European countries. Unlike United States India is not so popular in these countries. But soon after, people in general started to be more curious about Indian business men and its industries. Being part of the French embassy at that time I received many requests for information and tie ups with the Indian Industries.
This time I would like to refer to another phenomenon that is happening. However, instead of giving a name to the phenomenon I would rather provide a nomenclature to the man behind it. The effect may be attributed to ‘the Energy man’ of India. He is none another than the second charismatic leader of Reliance group i.e. Anil Ambani. After the bifurcation of Reliance between the two brothers Anil Ambani has almost overshadowed Mukesh Ambani, the elder son of Dhirubhai who was also known to be the true inheritor of his father’s legacy. To be honest Anil Started as an underdog, when some of the analysts of the time were questioning the ability and competence of this maverick who jogged openly, in the marathons and liked to be seen in the company of stars and politicians to manage the bifurcated group. To the credit of Anil, this maverick runner has run like no other athletic and has not only proved his detractor’s wrong but in a way has lead the race with an unimaginable force, acumen and vision. While Dhirubhai Ambani changed the perception of stock market and fund raising Anil is one step further. He has shown Indians to be ruthlessly ambitious. Like any other superman this energy man has huge appetite for big projects and big dreams. Some time back a research minded friend of mine called up the office of Anil Ambani to discuss a project. But the offer was soon spurned because the project size was quite limited in its overall capacity and structure. All the projects of Anil Ambani have one thing in common i.e. the unlimited size and capacity to deliver. In other words sky is the limits.
Today Anil Ambani is riding on a very high tide. Only a person, who knows how to swim in the super fast currents with lurking sharks and big fishes, can manage to remain afloat. Soon the market will see the opening of Reliance IPO - one of the largest to hit Indian market. Already the market is ripe with rumours of all kind and there have been a slew of emails from unknown sources in favour and against Reliance power. Questions are also being raised about the implementation ability of Anil Ambani. No doubt the sheer size of Reliance power will be a herculean task not only for Anil but for any multinational company. The question that is coming to many ignited minds is “ Will he or Will he not”. The market is caught in an unknown frenzy and fever for the Reliance power IPO.
Looking at the present sentiments of the market, no doubt the IPO will get fully subscribed. People as well as Institutional investors and FIIs will place their trust in Anil Ambani. The race has already started. Reliance Natural resources Limited, Reliance Communications and Reliance Energy the flag ship companies of Anil Ambani are reaching new heights. How fast and efficiently the project will be executed is anybody’s guess at the moment. Just like the Mittal effect, the effect of the energy man of India will be far reaching and lasting. It will generate a new breed of entrepreneurs who will be audacious and bold enough to take risks far excess of their existing capacities and capabilities. It signals the start of full grown capitalism in India which is so far known to exist only in countries like United States and some others. The stakes will be very high and so will be the rewards and risks.

asheesh.shah@gmail.com