Reliance Industries Shares Jump 4% After It Sets Record Date For Jio Financial Demerger

Reliance shares on Monday morning were trading over 4 per cent after it set July 20 as the record date for the Jio Financial demerger. The shares at 11:00 am IST were at Rs 2,739.00 up by 4 per cent. The shares at 10:45 am touched Rs 2,753.80 which is close to the 52-week high of Rs 2,756.

Reliance Industries Ltd has fixed July 20 as the record date for allotment of shares of its financial services arm Reliance Strategic Investments Ltd, the conglomerate said in an exchange filing.

Demerger of Reliance Strategic Investments

Reliance had previously announced plans to demerge its financial services undertaking into Reliance Strategic Investments Limited (RSIL) and rename and list it as Jio Financial Services Limited (JFSL). The National Company Law Tribunal earlier this month approved the proposed demerger of Reliance Strategic Investments. Following this, the demerger is effective from July 1, said the company on Thursday.

Directors and CEO of Jio Financial

Further, Hitesh Kumar Sethia will be the managing director and chief executive officer of Reliance Strategic Investments for a period of three years. Billionaire Mukesh Ambnai's daughter Isha will be appointed as the non-executive director of the financial services arm of Reliance Industries, the company said on Saturday. Alongside, Reliance executive Anshuman Thakur too has been appointed as non-executive director.

It said former bureaucrat Rajiv Mehrishi, who served as home secretary as well as CAG, has been appointed independent director on RSIL for five years. Sunil Mehta, chief executive of Indian Banks' Association, and Bimal Manu Tanna, a chartered accountant who worked with PwC, too have been appointed independent directors.

Reliance Retail to reduce equity shares

On the other hand Reliance Retail board of directors on Friday approved the reduction of equity share capital held by shareholders other than its promoters and holding companies like Reliance Retail Ventures, said Reliance Industries.

On the basis of this new decision shares held by such shareholders will stand cancelled and extinguished and a consideration of Rs 1,362 per share will be paid towards the capital reduction. The determined price was on the basis of valuation provided to the company by two reputed independent registered valuers.

Published on: Monday, July 10, 2023, 11:12 AM IST