Shashikant Ruia, the patriarch of the once-thriving Essar Group, has passed away after a prolonged illness in the early hours of Monday.
The 81-year-old industrialist was a towering figure in India's business landscape, co-founding the metals-to-technology conglomerate Essar in 1969.
He is survived by his wife, Manju, two sons, Prashant and Anshuman, their spouses, and four grandchildren.
Ruia, who had been undergoing treatment in the United States until recently, returned to Mumbai only last month. He died in the city late last night. The funeral will be held at the Worli crematorium on Tuesday evening.
The Essar Group expressed deep sorrow at his passing, stating, "With profound grief, we inform of the passing of Shashikant Ruia, the patriarch of the Ruia and Essar family. He was 81.
With an unwavering commitment to community uplifting and philanthropy, he touched millions of lives, leaving an enduring impact. His humility, warmth, and ability to connect with everyone he met, made him a truly exceptional leader."
The family also honoured Shashikant's legacy, describing it as a guiding light for future generations. "We vow to uphold the values and vision he championed throughout his life," they added.
Shashikant's entrepreneurial journey began at the tender age of 17, when he joined the family business under the guidance of his father, Nand Kishore Ruia.
Together with his brother Ravi, he founded Essar in 1969, starting with a contract to construct an outer breakwater for the Madras Port, valued at Rs 2.5 crore.
This marked the beginning of what would become a remarkable journey for the group, which expanded into various sectors, including steel, oil refining, oil and gas exploration, telecommunications, and power.
Essar grew rapidly in the decades that followed, becoming a prominent player in the energy, steel, and telecom industries. However, the group's fortunes began to change in the late 2000s, when mounting debt and a series of political challenges contributed to its decline.
The company was eventually taken to bankruptcy courts, and its key assets—such as oil, steel, and power—were sold off through the insolvency process.
One of the group’s few successful ventures was the sale of its 20-million-tonne-per-annum refinery in Vadinar, Gujarat, to a consortium of Russian lenders and the Moscow-owned Rosneft for $12.9 billion in 2017, marking the largest foreign direct investment (FDI) at the time. Essar also sold its telecom business to Vodafone in 2007 for over $11 billion.
Despite the decline of its domestic operations, Essar still maintains significant assets abroad, particularly in the UK. The company owns the Stanlow refinery in England, one of the largest in the country, as well as a fuel retailing business.
Initially focused on construction and engineering, Essar diversified into the energy sector in the 1980s, acquiring oil and gas assets. By the 1990s, it expanded further into steel and telecommunications, eventually establishing itself as a major player in India's telecom sector.
Shashikant Ruia’s leadership extended beyond his business ventures. He played an active role in various industry bodies, serving on the managing committee of FICCI, as chairman of the Indo-US Joint Business Council, and as a member of the Prime Minister's Indo-US CEO Forum and the India-Japan Business Council. He also led the Indian National Shipowners Association.
In 2007, Ruia joined The Elders, a group of world leaders working on global challenges, alongside figures such as Desmond Tutu, Kofi Annan, and Jimmy Carter. His innovative approach to business and focus on global partnerships helped position Essar as a significant player in both domestic and international markets.
Essar Global Fund, which oversees the businesses co-founded by the Ruias, now manages assets across various sectors, including infrastructure, energy, metals and mining, technology, and services. According to the group’s website, these portfolio companies generate combined revenues of $14 billion.