Adani and Reliance sign a no-poaching deal: heres what it means!

Adani has a strong presence across ports, power, renewable energy, distribution, and cement while Ambani’s Reliance works across oil to chemical, telecom, and retail.

As per the recent reports, Gautam Adani-led Adani Group and Mukesh Ambani’s Reliance Industries have reportedly signed a no-poaching agreement, which means that none of the groups can hire talents from each other. It will be applicable to all the companies of both groups.    

Both groups have a strong presence across various sectors and are rivals in a few. These kinds of agreements are not new in India and have been in existence for a while now in an informal way too.   

The second wealthiest billionaire and the eighth-richest in the world duo had been avoiding each other’s territory for over a decade now but it seems that the distance between them is getting narrower. In the world of rising labour costs and scarce specialised talents, it becomes important to preserve them and not lose them to rivals.   

Adani has a strong presence across ports, power, renewable energy, distribution, and cement while Ambani’s Reliance works across oil to chemical, telecom, and retail. Despite their differences, both the parties have one thing in common i.e. they continue to have large Capex plans for aggressive expansion and market capture.  

Currently, the share price of Reliance Industries is trading at Rs 2,455 level, down by 1.27 per cent while Adani Enterprises is trading on a flat note at Rs 3,718 level.