With crude prices rising sharply, like other oil importing companies Reliance Petrochemicals too has hit exposure limits with banks, pointed out senior officials.
So far increasing the exposure limit had been difficult for the banks as they had to calculate the exposure of the whole group. This problem will now be solved and Reliance Industries will have some additional room for borrowing.
Post the demerger, flagship Reliance Industries came under the control of Mukesh Ambani. The company is involved in oil refining, petrochemicals, oil retailing and oil exploration. In addition to Reliance Industries, Mukesh Ambani also controls Indian petrochemicals Corporation Ltd.
Anil Ambani now presides over Reliance Energy, involved in power generation and distribution, Reliance Infocomm and Reliance Capital, a non-banking finance company.
The group exposure, according to the bankers, worked out to around Rs 36,000 crore. The feud came out in the open on November 18 last year after Mukesh Ambani admitted to ownership issues in the group.
