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Reliance Industries Stock Hits Record High, RIL Rights Issue Shares Surge 8%

Reliance Industries Stock Hits Record High, Rights Shares Surge 8%

Partly-paid shares of RIL’s rights issue also got listed on the bourses

Oil-to-telecom conglomerate Reliance Industries Limited’s (RIL) stock surged as much as 2.38 per cent to hit record high of Rs 1,626.70 in Monday’s afternoon trade on BSE. The uptick in the stock came after the conglomerate’s telecom arm Jio Platforms secured two more investments over the weekend. Global investment firm TPG will buy a 0.93 per cent stake for $598 million, while private equity firm L Catterton will pick up a 0.39 per cent stake for $249 million in the firm, Reliance Industries said on Saturday.

Reliance Industries has now sold just over 22 per cent of Jio Platforms to investors including Facebook Inc, securing $13.72 billion in eight weeks.

Meanwhile, on Monday, partly-paid shares of Reliance Industries’ rights issue also got listed on the bourses and got off to an impressive start.

The shares got listed on stock exchanges with a 7 per cent gain at Rs 690 on the NSE. At market closing, the shares were priced at Rs 698 on the NSE, up 8.04 per cent.

The issue was open for subscription from May 20 with a simultaneous rights entitlement (RIL RE) platform, which allowed shareholders to freely trade their entitlements on stock exchanges for the first time ever. RIL’s rights issue was the largest such share sale in the history of Indian equity market. It issued shares at Rs 1,257 apiece in the issue but the entire payment has to be made in three tranches.

The rights issue allowed an existing shareholder to buy one new share for every 15 held.

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