Who Was Rakesh Jhunjhunwala
Rakesh Jhunjhunwala (5 July 1960 – 14 August 2022) gained prominence as an Indian business magnate, holding the roles of a Chartered Accountant, billionaire investor, and stock trader. His investment journey commenced in 1985 when he initiated trading with an initial capital of ₹5,000. Notably, he achieved his first significant profit in 1986. At the time of his demise, his approximate net worth was valued at US$5.8 billion, positioning him as the 438th wealthiest individual globally. He co-founded and operated his asset management firm, Rare Enterprises.
Beyond his active involvement in investment, Jhunjhunwala held positions as chairperson and director in numerous companies. Additionally, he played a pivotal role in the establishment of Akasa Air. Regulatory scrutiny encompassed his activities, leading to an insider trading investigation for which he reached a resolution with the Securities and Exchange Board of India (SEBI) in 2021. Often hailed as the “Big Bull of India,” Jhunjhunwala was renowned for his astute stock market predictions and consistently optimistic perspectives.
| Information | Details |
|---|---|
| Name | Rakesh Jhunjhunwala |
| Birth | 5 July 1960 |
| Birth Place | Hyderabad, Andhra Pradesh (now in Telangana), India |
| Age | Would be 62 as of current date |
| Father’s Name | Radheshyam Jhunjhunwala |
| Mother’s Name | Not available |
| Education | Chartered Accountant |
| College | Sydenham College of Commerce and Economics The Institute of Chartered Accountants of India Awards Padma Shri (2023) |
| Profession | Business Magnate, Investor, Stock Trader |
| Wife | Rekha Jhunjhunwala |
| Children | Daughter Nishtha, Twin Sons Aryaman and Aryaveer |
| Death | 14 August 2022 |
| Place of Death | Breach Candy Hospital, Mumbai, India |
| Cause of Death | Kidney-related problems, Acute Multiple Organ Failure |
| Citizenship | Indian |
| Total Assets | Approximately US$5.8 billion |
Early life and education
Born on 5 July 1960, Jhunjhunwala’s upbringing took place within a Rajasthani Marwari household in Mumbai. His father, Radheshyam Jhunjhunwala, held the position of Commissioner of Income Tax. His family name suggests ancestral ties to Jhunjhunu in Rajasthan. He completed his education at Sydenham College[9] and subsequently pursued enrollment at the Institute of Chartered Accountants of India.
Career Progress
Jhunjhunwala’s fascination with stock markets ignited as he witnessed his father engrossed in market discussions with his companions. While his father provided guidance on market matters, financial support was withheld, and seeking monetary assistance from friends was prohibited. Armed with his own savings, Rakesh embarked on his investment journey during his college years.
With a modest capital of ₹5,000, he initiated his foray into investing in 1985, reaping his initial substantial gain of ₹5 lacks in 1986. From 1986 to 1989, his earnings amounted to nearly ₹20–25 lakh. By 2022, his investment prowess had grown to a staggering ₹11,000 crores. Notably, his most significant investment by 2021 was concentrated in Titan Company, valued at ₹7,294.8 crore.
Operationalizing his own portfolio, he functioned as a partner within his asset management enterprise, Rare Enterprises. Beyond his active investment role, Jhunjhunwala held the position of chairman at Aptech and Hungama Digital Media Entertainment.
His influence extended to board directorships in Prime Focus Limited, Geojit Financial Services, Bilcare Limited, Praj Industries, Provogue, Concord Biotech, Innovasynth Technologies (I) Limited, Mid Day Multimedia Limited, Nagarjuna Construction Company, Viceroy Hotels, Tops Security Limited. Moreover, he was a valued member of the Board of Advisors for India’s International Movement to Unite Nations (I.I.M.U.N.).
In 2013, Jhunjhunwala acquired 6 of the 12 units within Ridgeway apartments at Malabar Hill from Standard Chartered Bank, with a transaction value of ₹176 crore. Subsequently, in 2017, he procured the remaining 6 apartments from HSBC for ₹195 crore. Initiating a new chapter, he embarked on the construction of a modern 13-story home spanning 70,000 square feet in 2021, following the demolition of the old structure.
In July 2021, he directed investments into Akasa Air, a budget-friendly airline operating in India, injecting US$400 million to secure a 40% stake in the company. As of August 2023, this newly established airline operates a fleet of 20 aircraft, servicing 16 cities. Prior to his passing, Rakesh substantially increased his stake in the airline to 46%, thereby becoming the principal stakeholder in the company.
Controversy Related To Jhunjhunwala
During 2021, Jhunjhunwala encountered an insider trading investigation concerning unconventional transactions involving shares of Aptech Computers. The Securities and Exchange Board of India (SEBI) contended that Jhunjhunwala and his associates engaged in Aptech trading while in possession of unpublished price-sensitive information (UPSI). Notably, in September 2016, Aptech unveiled plans to enter the preschool sector.
According to SEBI’s assessment, this information qualified as UPSI from 14 March 2016 until the official announcement date of 7 September 2016. In July 2021, the SEBI reached a resolution on the matter, resulting in a cumulative payment of ₹35 crore from Jhunjhunwala and his associates. Specifically, Jhunjhunwala’s contribution amounted to ₹18.5 crore, while his spouse contributed ₹3.2 crore.
Philanthropy work
At the point of his passing, Jhunjhunwala possessed a net worth of US$5.8 billion, and he had intentions to allocate a significant portion of his wealth, a quarter, towards charitable causes. His philanthropic endeavors encompassed diverse fields, spanning healthcare and education.
He lent his support to various institutions including St. Jude, Agastya International Foundation, Ashoka University, Friends of Tribals Society, and Olympic Gold Quest. Furthermore, he played an active role in the establishment of the R J Sankara Eye Hospital in New Panvel.
Influence on Popular Culture
The identities of the authors behind the work were unveiled on 7 June 2012 by The Economic Times. Initially, Mark Fidelman, a Forbes columnist, held the position for the first year. Subsequently, writer Aditya Magal took over for the following years.
Representation in Media
Actor Kavin Dave portrayed a character inspired by Jhunjhunwala in the web series “Scam 1992”.
Passing Away
Tragedy struck on 14 August 2022 when Jhunjhunwala fell seriously ill and was swiftly taken to Breach Candy Hospital in Mumbai. Sadly, he passed away around 6:30 a.m. Medical professionals later revealed that his demise resulted from kidney-related complications and acute multiple organ failure.
Indian Prime Minister Narendra Modi offered his condolences, remarking, “Rakesh Jhunjhunwala’s spirit was unyielding. Animated, witty, and perceptive, he leaves behind an enduring impact on the financial realm. He was also deeply committed to India’s advancement. His departure is a sorrowful event.”
Personal life
Rakesh Jhunjhunwala entered matrimony with Rekha Jhunjhunwala on 22 February 1987. The couple was blessed with three children. Their daughter, Nishtha, was born on 30 June 2004, while their twin sons, Aryaman and Aryaveer, came into the world on 2 March 2009.
FAQs
1. Q: Who was Rakesh Jhunjhunwala?
Ans: Rakesh Jhunjhunwala was an Indian billionaire business magnate, investor, and stock trader.
2. Q: When was Rakesh Jhunjhunwala born?
Ans: He was born on 5 July 1960.
3. Q: What was Rakesh Jhunjhunwala’s net worth at the time of his death?
Ans: His net worth was approximately US$5.8 billion.
4. Q: What philanthropic causes did Jhunjhunwala support?
Ans: He supported healthcare and education-related initiatives, including organizations like St. Jude, Agastya International Foundation, and Olympic Gold Quest.
5. Q: What role did he play in the popular web series “Scam 1992”?
Ans: Actor Kavin Dave portrayed a character based on Jhunjhunwala in the series.
6. Q: How did Rakesh Jhunjhunwala pass away?
Ans: He fell ill and was admitted to Breach Candy Hospital in Mumbai, where he succumbed to kidney-related problems and acute multiple organ failure on 14 August 2022.
7. Q: What did Indian Prime Minister Narendra Modi say about Jhunjhunwala’s passing?
Ans: Narendra Modi expressed his condolences, describing Jhunjhunwala as indomitable, insightful, and passionate about India’s progress.
8. Q: When did Jhunjhunwala get married?
Ans: He married Rekha Jhunjhunwala on 22 February 1987.
9. Q: How many children did Rakesh Jhunjhunwala have?
Ans: He had three children: a daughter named Nishtha, born on 30 June 2004, and twin sons, Aryaman and Aryaveer, born on 2 March 2009.
10. Q: What was Jhunjhunwala’s significant investment as of 2021?
Ans: His largest investment was in Titan Company, valued at ₹7,294.8 crore.