Reliance-Jio Financial demerger defies all bets, JFSL valued at ₹261.85/share
Analysts predicted JFSL's value will stand at ₹189 per share. Some even predicted the value as low as ₹168 apiece.
The Mukesh Ambani-led Reliance Industries Limited (RIL) on Thursday demerged its financial section Jio Financial Services Limited (JFSL) at a 1:1 ratio. After the special pre-opening session by the National Stock Exchange (NSE), RIL was valued at ₹2,580 and JFSL at ₹261.85 per share, much higher than what analysts predicted.
On the Bombay Stick Exchange (BSE), which also conducted a special session, RIL's shares opened at ₹2,589. RIL's closing price in the previous session settled 1.15% higher at ₹2,853 on NSE.
Following the demerger, JFSL will be added to Nifty 50 along with 18 other indices of NSE, and 18 of the S&P BSE indices for a temporary period. It will be the 51st constituent of Nifty50 and 31st in Sensex. RIL is yet to announce the date of listing.
The 1:1 share ratio means that all RIL shareholders will receive one share of JFSL for every one RIL share they own.
Post the demerger, the total outstanding value of JFSL will now come at 635.32 crore, converting the total market capitalisation of the company to ₹1.66 lakh crore.