IiAS Recommends Voting Against Anant Ambani To Board Of RIL
The advisory firm cited 'Governance Matters' as the reason to vote against Mukesh Ambani's youngest son.
Institutional Investor Advisory Services has recommended shareholders vote against Anant Ambani's appointment to the board of Reliance Industries Ltd.
However, the advisory firm, in a note, recommended voting for Isha Ambani and Akash Ambani. The shareholders of the Mukesh Ambani-owned conglomerate are set to vote on the appointment of the three siblings as non-executive, non-independent directors.
The results of the vote will be announced on Oct. 30.
The advisory firm cited "Governance Matters" as the reason to vote against Mukesh Ambani's youngest son.
According to IiAS' voting guidelines, the firm recommends voting against the appointment or re-appointment of executive or non-executive non-independent directorial candidates if they have less than 10 years of work experience or are less than 30 years of age.
Anant Ambani is 28 years old and has been serving on the boards of Reliance Group companies, including Jio Platforms, since March 2020. He has also been on the boards of Reliance Retail Ventures Ltd. since May 2022 and Reliance New Energy and Reliance New Solar Energy since June 2021.
"At 28 years of age, his appointment as a non-executive, non-independent director does not align with our voting guidelines," the note said.
The company has clarified that the three Ambani siblings' appointment is expected to be effective before Dec. 31, 2023, it said.
"IiAS will make exceptions to this rule when the director is a first-generation promoter or founder."
Mukesh Ambani named his children on the board of the oil-to-telecom conglomerate in August as Nita Ambani stepped down. Ambani plans to continue to perform his role as chairman and managing director for five more years.
During this period, he will groom his children to transform Reliance into a green energy and digital conglomerate.