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Ratan Tata, the former chairman of the Tata Group, has a net worth of Rs 7,900 crore, according to the Hurun India Rich List 2024. While he is not known for being on rich lists, his vast personal estate includes investments in tech startups, an EV company, and an NBFC. The majority of his wealth comes from his direct stake in Tata Sons, the Tata Group holding company, which accounts for 0.83 percent of the company.
Since 2014, Tata has invested in at least 25 companies, including ride-hailing platform Ola, digital payments company Paytm, furniture e-tailer Urban Ladder, eyewear retailer Lenskart, health and fitness platform CureFit, and home services provider Urban Company. These investments are primarily made through his personal investment vehicle, RNT Associates Private Limited. RNT Associates, where Tata holds 100 percent ownership, had total assets of Rs 296.96 crore in FY23, including investments worth Rs 186 crore and cash and cash equivalents of Rs 77.88 crore. These investments are recorded at their original cost rather than their current market value.
RNT Associates' revenue increased from Rs 17 crore in FY22 to Rs 36.39 crore in FY23, while its profit grew from Rs 12.47 crore to Rs 27.71 crore during the same period. Mehli Mistry, a close associate of Tata, is the only other director on the board of RNT Associates. Despite stepping down from his executive role at Tata Sons, Tata has continued to invest in new businesses, including Avanti Finance Private Limited and Electrodrive Powertrain Solutions Private Limited (Electra EV). Avanti, a microlender founded in 2016, aims to impact the lives of 100 million households in India through technology-based individual and community lending. Electra EV, incorporated in 2017, manufactures powertrains for electric vehicles and is the sole supplier of powertrains for the Tata ACE Model.
Beyond individual investments, Tata has also established venture capital funds. In 2016, he partnered with the University of California to launch the UC-RNT Fund, which has invested in companies such as Mswipe Technologies, NestAway, Livspace, and Axio Biosolutions. He was also part of a Singapore-based fund named SeedPlus, which raised close to $18 million in 2017 with backing from Cisco Investments, Eight Roads Ventures, SGInnovate, Accel Partners (India), and RNT Associates. This detailed look at Ratan Tata's personal investments highlights his continued commitment to innovation and entrepreneurship, even after stepping back from his executive role at Tata Sons.
Ratan Tata's personal investments showcase his dedication to fostering innovation and entrepreneurial ventures. He has strategically diversified his portfolio, spanning from tech startups to an EV company and a microlender. These investments reflect a broader commitment to social impact and contribute to the development of various sectors within India. By supporting emerging businesses, Tata not only seeks potential financial returns but also contributes to the growth of the Indian economy. His involvement in venture capital funds further underscores his dedication to nurturing and empowering aspiring entrepreneurs. While he may not actively seek recognition on rich lists, his investments highlight his significant influence in the Indian business landscape and his commitment to a future driven by innovation and entrepreneurship.
Source: A look at Ratan Tata’s personal estate worth Rs 7,900 cr