Anil Ambani's Reliance Money buys stake in HK exchange

First Indian firm to acquire a stake in an international exchange
Becomes the second largest shareholder in HKMEx
Reliance Money to get a seat on the HKMEx board
Mumbai, October 14, 2008: Reliance Money, part of the Reliance Anil Dhirubhai Ambani Group, has acquired a 15 per cent stake in Hong Kong Mercantile Exchange (HKMEx). With this holding, Reliance Money becomes the second-largest shareholder in the commodity exchange and will have a board membership. Reliance Money is the first Indian firm to acquire a stake in an international exchange.

"Even as Asia has emerged as a key market for global commodities, the region does not have a strong commodity exchange. We believe that our deal with HKMEx will help us capitalise on the growing demand for commodities in this region," said Mr. Sudip Bandyopadhyay, Director and CEO, Reliance Money.

Reliance Money has recently received approval from the FMC and Ministry of Consumer Affairs for acquiring 10 per cent stake in domestic National Multi-Commodity Exchange of India. It plans to up this stake to 26 per cent.

"We plan to build synergies between both the exchanges thereby leveraging on the growth potential of commodity trading in India, China and the rest of Asia," added Mr. Bandyopadhyay.

HKMEx proposes to start trading in the first quarter of 2009 and will kick-start its operations by offering dollar-denominated oil contracts. It would also diversify into other commodities going forward.