Released on: September 12, 2007, 4:33 am

Press Release Author: Newage

Industry: Media

Press Release Summary: This will help RIL consolidate its position further as the
World's largest polyester manufacturer with 2.5 million tonnes capacity, 25%
increase from the current capacity and increase in revenue by around USD one
Billion.

Press Release Body: Reliance Industries Limited (RIL) announced on 10 september 2007
that it reached an agreement with the Receivers and Managers of Hualon Corporation
(M) Sdn Bhd (Receivers and Managers Appointed) [Hualon] in Malaysia, to acquire
assets of Hualon. Hualon is a leading polyester producer in Malaysia with a
polyester (fibre, yarn and resin) manufacturing capacity of half a million tons per
annum along with downstream textile manufacturing capabilities spread over two
locations in Malaysia namely, Nilai and Malacca. It is one of the largest exporters
in Malaysia.

This agreement is an important step towards the acquisition of assets of Hualon. The
agreement to acquire is subject to certain conditions and regulatory approvals.

This acquisition, when consummated, will be the second international acquisition in
the polyester sector of RIL after the successful takeover of Trevira in Germany in
2004. This will help RIL consolidate its position further as the World's largest
polyester manufacturer with 2.5 million tonnes capacity, 25% increase from the
current capacity and increase in revenue by around USD one Billion. This acquisition
will bestow RIL with more than 7% global market share in polyester fibre and yarn.

Commenting on this development Shri Mukesh Ambani, Chairman, Reliance Industries,
said "Reliance celebrates its silver jubilee in polyester business with the
acquisition of Hualon. The integrated assets of Hualon will help RIL to strengthen
its position in the entire textile value chain and RIL will graduate to become a
solution provider to the global textile industry. This acquisition reiterates our
strong commitment to the growth of polyester."

This acquisition will help to achieve global vision of Reliance polyester sector
through easy access to other Western markets. Reliance's existing R&D will help the
industry in Malaysia to launch innovative products catering to high value premium
segments. The integrated facility at Hualon will help RIL to comprehend the entire
textile value chain and hasten new product developments in polyester.

Hualon:
Established in 1989, Hualon is an integrated polyester to textile manufacturing
company in Malaysia with half a million tons of polyester capacity, 250 000 spindles
for spun yarn manufacturing, 5800 shuttleless looms for weaving along with
processing facilities. The company also has nylon filament manufacturing capability.



The company has highly automated plants, cutting edge technology and the most
advanced machinery.

Hualon was placed into receivership on 30th November 2006 and Mr Lim Tian Huat, Mr
Adam Primus Bin Abdullah and Mr Stephen Duar, all of Ernst & Young, Malaysia were
appointed the receivers and managers of Hualon with effect from that date.


Web Site: http://newagemedia.com

Contact Details: 52,kaliyandas Udhyog bhavan,behind century
bazzar,Prabhadevi,Worli-400025