Asia's richest man, Mukesh Ambani's succession plans have intensified in recent times and it shares elements similar to that of Walmart Inc.’s Walton family, the richest family in the US, news agency Bloomberg reported.
With an empire worth $208 billion, the next step for Ambani is to rule out clashes caused due to the succession of wealth, which has torn apart many wealthy clans in the past.
64-year-old Indian tycoon is planning to move his family's holdings into a trust-like structure that will control the flagship Reliance Industries Ltd, Bloomberg reported quoting its sources.
Ambani's wife Nita and three children, Isha, Anant, and Akash will have stakes and they will be on the board of the new entity overseeing Reliance. However, the management and day to day operations will be entrusted to professionals outside the family and the board of the new entity will also have Ambani's trusted confidantes as advisers.
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India's most influential company and its business is spread across an array of industries including span oil refining and petrochemicals to telecommunications, e-commerce, and green energy.
India currently has more than 1,000 publicly-listed family-owned or founded companies and the collective market value of the Asian clans are worth around $5.8 trillion, according to Credit Suisse globally. Indian family empires are valued at around $1.5 trillion of the total amount of Asian clans at $5.8 trillion.
With Asia, especially India having the largest share of family-owned wealth, Ambani's succession plan would serve as an inspiration to many.
Asia's richest man is still considering options and has not announced any defined decision as of yet. While the man who has a net worth of $94 billion hasn’t publicly disclosed any plans on stepping down from his responsibilities as the head of Mumbai-listed flagship Reliance Industries, his children can be spotted taking active participation in his business.
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“I have no doubt whatsoever that the next generation of leaders at Reliance, led by Isha, Akash, and Anant, will further enrich this precious legacy,” Ambani had said earlier this June while addressing his shareholders.
