Mukesh Ambani's Reliance Secures $2.9 Billion Offshore Loan — Largest Since 2023

Mukesh Ambani-led Reliance Industries has secured a dual-currency loan worth the equivalent of $2.9 billion, making it the largest offshore loan by an Indian company in over a year.

According to Bloomberg, the loan drew participation from around 55 banks, forming the biggest lender group for any syndicated loan in Asia so far this year. The financing is split into two parts: a $2.4 billion tranche and another valued at 67.7 billion yen (approximately $462 million). The agreement was finalised on May 9, the news agency said.

This is Reliance’s first overseas loan since 2023, when it raised over $8 billion. That earlier round of borrowing, involving both the parent company and its telecom arm Reliance Jio Infocomm Ltd., also attracted about 55 lenders. Reliance holds a rare credit rating above India’s sovereign rating — Baa2 from Moody’s and BBB from Fitch.

In its fourth-quarter earnings released last month, Reliance reported a net debt of Rs 1,17,000 crore, after spending Rs 1,13,100 crore on capital expenditure in FY25.

“It has been a flat net debt environment, and if you look at the capex versus our cash profits, we are clearly below — all the numbers are quite healthy and allow us to continue investing,” said V. Srikanth, CFO of Reliance Industries Limited, during the fourth-quarter earnings call.

During the March quarter, Reliance’s consolidated EBITDA (earnings before interest, taxes, depreciation and amortisation) rose 3% year-on-year to Rs 43,800 crore. Net profit increased 2% to Rs 19,400 crore, in line with market estimates. Growth was driven by strong performance in Digital Services (mainly Jio), which saw EBITDA rise 18% to Rs 17,300 crore, and in Retail, where EBITDA grew 15% to Rs 6,500 crore.

These gains were partly offset by a 10% decline in the Oil-to-Chemicals segment to Rs 15,100 crore (though up 5% quarter-on-quarter) and a 9% fall in Oil & Gas earnings to Rs 5,100 crore.

The latest loan comes as Reliance accelerates investment across its businesses. At the company’s annual general meeting in August 2024, Chairman Mukesh Ambani outlined a bold ambition to move Reliance from its current position among the world’s top 50 most valuable companies into the top 30.

Ambani said this goal is being driven by a greater focus on advanced technology and manufacturing. He also unveiled ambitious plans for the New Energy division, aiming for it to match the size and profitability of Reliance’s Oil-to-Chemicals business within five to seven years.

The group also announced major investments in biogas, plastics, and polyester. These include building 55 compressed biogas plants by 2025, a pilot project for integrated energy farming, and expanded capacity for PVC, CPVC, and specialty polyester by 2026–27.

Bloomberg reports that the strong interest in Reliance’s loan reflects lenders’ appetite for high-quality assets in a market with few major deals. So far in 2025, loan activity in Asia Pacific (excluding Japan) has dropped to a 20-year low, with just $29 billion raised in G3 currencies (US dollars, euros, and yen).

India, however, has emerged as a bright spot. Foreign currency loans to Indian companies have surged, largely due to Reliance’s latest borrowing. Including this deal, total offshore loan volume has reached $10.4 billion year-to-date — the fastest start in at least a decade.