Reliance Industries’ financial services arm, Jio Financial Services, was valued at Rs 261.85 apiece in a special pre-open auction on Thursday. The auction was conducted to determine the market price of Jio Financial Services shares ahead of its demerger from Reliance Industries.
The auction was open to all investors, including retail investors. The bidding process started at Rs 160 per share and ended at Rs 261.85 per share. A total of 11.5 crore shares were traded in the auction, which was oversubscribed by 3.5 times.
The demerger of Jio Financial Services is expected to be completed by the end of this month. Once the demerger is complete, Jio Financial Services will become a separate listed entity.
Reliance share price falls after Jio Financial Services Demerger
The share price of Reliance Industries fell by 9.2% on Thursday after the demerger of its financial services arm, Jio Financial Services. The stock closed at Rs 2,580, down from its previous close of Rs 2,841.85.
The demerger of Jio Financial Services resulted in a dilution of Reliance Industries’ equity. This, along with concerns about the future performance of Jio Financial Services, led to the decline in the share price of Reliance Industries.
What does the demerger of Jio Financial Services mean for investors?
The demerger of Jio Financial Services will have a number of implications for investors. First, investors in Reliance Industries will now own shares in both Reliance Industries and Jio Financial Services. Second, the demerger will allow Jio Financial Services to operate more independently and focus on its core business. Third, the demerger could make Jio Financial Services a more attractive investment for investors who are looking for exposure to the financial services sector.
How will the demerger of Jio Financial Services impact the Indian financial sector?
The demerger of Jio Financial Services is likely to have a positive impact on the Indian financial sector. Jio Financial Services is a well-funded and well-managed company with a strong track record. The demerger will allow Jio Financial Services to raise additional capital and expand its operations. This will boost competition in the Indian financial sector and benefit consumers.
What are the next steps for Jio Financial Services?
The demerger of Jio Financial Services is a significant milestone for the company. The next steps for Jio Financial Services will be to complete the demerger process and then focus on its core business. Jio Financial Services plans to expand its operations and offer a wider range of financial products and services. The company also plans to invest in technology and innovation.
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