Today, the stock of Reliance Industries rose sharply. RIL had 42nd AGM yesterday. Mukesh Ambani made many big announcements in this AGM. It also had the largest FDI in the country.
Saudi Aremco will buy a 20 percent stake in Reliance Industries’ oil and chemical business, and Reliance also plans to become debt-free in the next 18 months. Mukesh Ambani has also announced the commercial launch of Reliance Fibre on 5 September 2019.
After these announcements, Reliance shares rose more than 10 percent in the stock market today. Reliance’s stock is trading at Rs 1285, up by Rs 123.
On the other hand, there is a decline in Sensex and Nifty. The Sensex is trading at 37450, down 125 points. At the same time, the Nifty was trading at 11075 points with a fall of 30 points.
Reliance will separate the oil and chemical division from its business. In this division, 20% stake has been sold to Saudi Aremco. It is headed by refining, petrochemical and fuel marketing.
A 49 percent stake in the fuel marketing company has been sold to BP for Rs 7 thousand crores. Reliance will get a total of Rs 1.13 lakh crore from Saudi Aremco and BP. All this money will go to Reliance’s treasury pool.
According to Nomura, the deal between Reliance and Saudi Aremco is non-binding. It is in the phase of the letter of intent. The deal is expected to be completed by March 2020. Nomura has set a target of Rs 1600 for Reliance’s stock.
Macquarie has given an outperform rating to Reliance’s stock. At the same time, the share target has been increased to Rs 1370. At the same time, Antique Stock Broking has raised the Reliance stock target to Rs 1360. At the same time, the rating has been increased from hold to buy (buy).