Mukesh Ambani backed Reliance Industries defended the appointment of Saudi Aramco Chairman, Yasir Al-Rumayyan as an independent director on its board reiterating that his appointment has no connection with Saudi Aramco's plans to buy a stake in its oil-to-chemicals business.
Shareholders are in the process of voting to confirm the appointment of the Saudi Aramco's chief onto RIL's board for 3 years. Reliance had appointed Aramco's Yasir Al-Rumayyan as an independent director on July 19 . Meanwhile a
As per reports U.S. proxy advisory research firm Glass Lewis' has advised shareholders to vote against the appointment as the Aramco representative as per Lewis is not truly 'independent' as the two companies are in the process of a stake sale in the oil-to-chemical business.
In a statement filed with the stock exchanges, RIL said its O2C (oil-to-chemicals) business is being hived off into a subsidiary, and as per the terms of the proposed transaction, Saudi Aramco will participate in the equity of the O2C subsidiary. The O2C subsidiary board may have nominees of Saudi Aramco to protect its interest, RIL said.