Jio Financial Services, the demerged financial arm of [Reliance Industries] made its stock market debut on Monday. The stock was listed at ₹265 per share on the BSE and ₹262 per share on the NSE against the discovered price of ₹261.85 apiece.
However, the stock soon crashed 5 percent to hit its lower price band of ₹251.75 on BSE. On the NSE, too, it hit its 5 percent lower price band of ₹248.90.
As per the BSE, from Monday, August 21, 2023, the shares of Jio Financial Services Ltd (Formerly known as Reliance Strategic Investments Limited) are admitted to dealings on the exchange in the list of T group of securities.
Jio Financial Services’ share price will be in the “Trade-for-Trade” segment for 10 trading days.
Meanwhile, shares of Reliance Industries fell over a percent in morning trade on BSE on Monday.
Jio Financial Services was demerged from Reliance Industries (RIL) on July 20. Last year, while delivering its September quarter earnings, Reliance Industries announced the demerger of its financial services business and list it separately on the stock exchanges under Jio Financial Services Ltd. The Mumbai bench of the National Company Law Tribunal (NCLT) in its order on June 28 June (uploaded on the website of NCLT on July 5) approved the demerger.
Brokerage firms believe the demerger has the potential of unlocking significant value for Reliance Industries and its shareholders.
Brokerage firm Kotak Institutional Equities pointed out that Jio Financial Services will be the holding company for financial services businesses, likely benefiting from the reach of RIL’s various businesses and technical capabilities.
“The focus will be to digitally deliver a range of financial products, which include consumer loans, merchant and MSME loans, and payments solutions, along with the existing payments bank, insurance broking, and asset management. NAV, at RIL’s current market price, is ₹200,” Kotak said.
JFSL shares will be dropped from all the NSE and BSE indices T+3 days after its listing.
Source Link:[Jio Financials lists at ₹262 per share on NSE and ₹265 per share on BSE | Mint]