Mumbai, 2 November 2018: A Reliance Infrastructure Ltd. spokesperson said:
“It is deeply unfortunate that the Reliance Group and its Chairman, Mr. Anil Ambani,
are continuously being dragged into a political battle in view of the impending State
and General elections in the country.
The Congress Party has today once again resorted to blatant lies and distorted
facts to mount an unwarranted campaign of calumny and falsehoods against
the Reliance Group and its Chairman Mr Anil Ambani personally.
Dassault’s investment in Reliance Airport Developers Limited (RADL) has no link
whatsoever with the Rafale contract between the Government of India and France on
a Government-to-Government basis, where all 36 aircraft are to be exported from
France. This investment is an independent arms-length transaction based on fair
market valuation of the land and other assets of the Company, and the future business
potential in the airports and related infrastructure sector.
The RADL transaction was completed in full compliance with applicable FDI and
all other rules & regulations and the information has been disclosed in the public
domain since December 2017 onwards, nearly a year ago.
The Congress party has falsely alleged that the funds invested in RADL have
been used for the purchase of land at Mihan, Nagpur for the Dassault-Reliance
The payment for the land at MIHAN, Nagpur, Maharashtra was made from 2015 to
2017, much before the investment by Dassault in RADL.
The Congress party’s attacks on Mr. Anil Ambani in his individual capacity are
shameful and deplorable, especially as all transactions with Dassault have been
made by Reliance Infrastructure Ltd., a publicly listed company with over a
Million small shareholders, including more than 10% ownership by public
financial institutions such as LIC, GIC and other insurance companies, and over
15% ownership with reputed global institutional investors.
The Congress party’s continued lies and falsehoods cannot change the truth
that Mr. Anil Ambani has not entered into any transactions personally with
Dassault and nor has he derived any personal benefit from any transactions.”
The facts in relation to investment by Dassault in Reliance Airport Developers
Limited (RADL) are as given below:
Reliance Airport Developers Limited (RADL) is a subsidiary of Reliance Infrastructure
RADL operates five regional airports in Maharashtra, at Nanded, Latur, Baramati,
Yavatmal and Osmanabad.
RADL won these Airports on a long-term lease of 95 years, by participating in a
competitive bidding process conducted by the Government of Maharashtra, in
the year 2009—nearly 10 years ago.
RADL holds 1,500 acres of prime land at strategic locations, on a long term lease of
Investment by Dassault Aviation in RADL, to acquire 34.8% equity stake for Rs. 309
crore, was made by way of Foreign Direct Investment (FDI) in September 2017 – nearly
14 months ago, in a transparent manner and in full compliance of applicable laws,
keeping in view the management and development of Airport Infrastructure at five
locations by RADL.
Investment by Dassault Aviation was made at fair value arrived at by an Independent
expert, as per RBI Guidelines.
This FDI transaction was made in the equity of RADL, which is a subsidiary of Reliance
Infrastructure, a publicly listed company having over one million retail and institutional
shareholders. Reliance Infrastructure has an asset base of over
Rs 100,700 crore and net worth of Rs 25,800 crore.
Details of this transaction have been in public domain since 2017 and have been duly
disclosed as below:
- Reliance Infrastructure filings made with RBI—in September, 2017
- Dassault Aviation Annual Report as at December 2017 published in March2018 – at Page Nos. 12, 14, 40, 117, 159 and 160
- Reliance Infrastructure Annual Report as at March 2018 which was published,sent to all shareholders, posted on the website and filed with Stock Exchangeson 1st August, 2018—nearly 90 days ago.
- Annual Report of RADL which was published, made available to Shareholders of Reliance Infrastructure and posted on the website of Reliance Infrastructure on 1 August 2018—nearly 90 days ago.
Based on the above facts, we hope all the falsehoods being spread continuously
will be buried once and for all.