Billionaire Shashi Ruia, co-founder of Essar Group, dies at 81
Billionaire Shashi Ruia, co-founder of India's multinational conglomerate Essar Group, has died at the age of 81. His death brings an end to an era for a business empire that stretches across sectors like energy, steel, and telecom. The Ruia family confirmed his death in an official statement on Tuesday. They expressed their deep sorrow over the loss of their patriarch and his contributions to society.
Essar Group's journey under Ruia's leadership
The Essar Group, which Shashi and his brother Ravi Ruia co-founded in 1969, started its journey with a ₹2.5 crore construction contract from the Madras Port Trust. The company initially concentrated on the construction and engineering sector, taking on major infrastructure projects like bridges, dams, and power plants. In the 1980s, Essar diversified into the energy sector by acquiring oil and gas assets.
Essar's foray into steel and telecom sectors
In the 1990s, the Essar Group diversified into steel and telecom. The company set up steel plants, an oil refinery, and collaborated with Hutchison to establish India's second-largest telecom operator. However, facing financial difficulties and insolvency proceedings to recover unpaid loans, Essar had to exit telecom, sell its oil refinery to a consortium led by Russia's Rosneft, and hand over its steel plants to ArcelorMittal.
Ruia's significant roles in business forums
Ruia held key positions in many national and international business forums. He was a member of the managing committee of the Federation of Indian Chambers of Commerce and Industry (FICCI), Chairman of the Indo-US Joint Business Council, and former president of the Indian National Shipowners Association (INSA). He was also a member of PM's Indo-US CEO's Forum and India-Japan Business Council.
Ruia's philanthropic endeavors and legacy
In 2007, Ruia became a member of The Elders, an elite group of world-renowned personalities who independently fund efforts to address global challenges. The group includes notable personalities like Richard Branson, Peter Gabriel, Ray Chambers, Pam Omidyar, Amy Robbins and Richard Tarlow. The Ruia family's statement emphasized his unwavering commitment to community upliftment and philanthropy. They described him as an iconic industrialist who played a key role in redefining India's corporate landscape.
