First-generation entrepreneur and co-founder of the Essar Group, Shashi Ruia, has died

Shashikant Ruia, a first-generation entrepreneur who turned a small construction company into an infrastructure conglomerate, has died after a prolonged illness. He was 80 years old.

Shashi Ruia, as he was fondly called, co-founded the metals and technology conglomerate Essar along with his brother Ravi.

Ruia, who would have turned 81 next month, died in Mumbai around midnight. About a month ago he returned from the USA, where he was undergoing treatment.

“It is with deep sadness that we announce the death of Shri Shashikant Rui, patriarch of the Ruia and Essar families,” Ruia’s family said in a statement.

He left behind his wife Manju and two sons Prashant and Anshuman.

Starting his career in 1965 under the guidance of his father Nanda Kishore Ruia, Shashi and his brother Ravi laid the foundation of Essar in 1969 by winning an order worth Rs 2.5 crore from the Madras Port Trust for the construction of an external breakwater at the port.

In its early years, Essar focused on construction and engineering projects and built a number of bridges, dams and power plants. In the 1980s, Essar expanded into the energy sector by acquiring oil and gas assets.

A decade later, it became a significant player in the steel and telecommunications markets, establishing a large steel plant in Gujarat and, through a joint venture with Hutchison, becoming the second largest telecommunications operator in India. It also continued to build an oil refinery in Gujarat despite funds being withheld due to business competitors.

He later withdrew from the telecommunications business, sold the refinery to a consortium led by Russia’s Rosneft and had to hand over the steelworks to ArcelorMittal after bankruptcy proceedings were initiated to recover unpaid loans.

Today, Essar Global Fund Ltd, which oversees the companies co-founded by the Ruia brothers, manages assets in various sectors such as infrastructure, energy, metals and mining, technology and services.

According to the Essar Group website, these portfolio companies generate combined revenues of $14 billion.

“Through his unwavering commitment to community uplift and philanthropy, he touched the lives of millions of people, leaving a lasting impact. “His humility, warmth and ability to connect with everyone he met made him a truly exceptional leader,” a statement from Ruia’s family read.

“Iconic industrialist Shri Shashikant Ruia, Chairman of Essar Group, has played a significant role in redefining India’s corporate landscape. He laid the foundation of the Essar Group and made it a global conglomerate.”

His “remarkable legacy will remain a guiding light for all of us as we honor his vision and continue to uphold the values ​​he valued and defended,” he added.

Prime Minister Narendra Modi, in his condolence message, called Ruia an “outstanding figure”.