Reliance Industries Shares Hit All-Time High On 6th Deal In 6 Weeks

Shares of Reliance Industries Limited (RIL) on Friday rose 2.4 percent to Rs 1,618 apiece, a new all-time high as it announced that it has found of its sixth investor for Jio Platforms in a span of six weeks. The stock rose for the fifth straight day and was also the biggest contributor to Nifty 50 in gains on Friday.

On Friday, RIL informed exchanges that Abu Dhabi-based sovereign investor Mubadala Investment Company is set to invest Rs 9,094 crore in Jio Platforms for a 1.85 percent stake.

The deal values Jio Platforms at Rs 4.9 lakh crore in equity and 5.16 lakh crore in Enterprise Value.

With the Mubadala deal, Jio Platforms has raised Rs 87,655.35 crore from foreign investors including Facebook, Silver Lake, Vista Equity Partners, General Atlantic and KKR in less than six weeks. RIL has sold a combined stake of 19 percent interest in its digital arm which the biggest chunk of 9.9 percent bought by social media giant Facebook Inc for $5.7 billion.

The market cap of the Mukesh Ambani-led conglomerate was Rs 10.84 trillion as per BSE data at 10 am on Friday, the biggest in the country.

This week RIL also successfully completed its Rs 53,124 crore rights issue, which was subscribed nearly 160 percent. The issue was open between 20 May and 3 June.

The firm on 30 April had announced its fund-raising plan of Rs 53,125 crore by way of a 1:15 rights issue. It was a part of the conglomerate's strategy to deleverage its balance sheet to become a zero net debt company by March 2021.

According to data from Dealogic, the issue is the biggest in the world by a non-financial issuer in the last 10 years. The only other non-financial issuer close to the issue size is $7.002 billion issue by Bayer AG in June 2018.