Mukesh Ambani led firms lose Rs 32,574 cr after Court verdict
The court ruling on RIL-RNRL gas dispute today spelled bad news for the Mukesh Ambani led group companies wherein investors lost a whopping Rs 32,574 crore in just a single trading session.business Updated: Jun 16, 2009 01:46 IST
The court ruling on RIL-RNRL gas dispute today spelled bad news for the Mukesh Ambani led group companies wherein investors lost a whopping Rs 32,574 crore in just a single trading session.
The Mukesh Ambani pack which includes country's largest private sector firm Reliance Industries Ltd, Reliance Petroleum and infrastructure firm Reliance Industrial Infrastructure Ltd (RIIL) lost more than Rs 32,574.67 crore after stocks of all the three companies settled with loss of as much as 7 per cent.
Reliance Industries's market capitalisation at the end of today's trading session stood at Rs 3.44 lakh crore, a loss of over Rs 27,753.94 crore from its Friday's market capitalisation. On June 12, RIL's market capitalisation stood at Rs 3.71 lakh crore.
"After the court ruling the Mukesh Ambani-led group companies got hammered as the verdict was a major victory for the ADAG group firms," Ashika Stock Brokers Research Head Paras Bothra said.
In what is seen as a major victory for Anil Amabni, engaged in one of the most fiercely fought corporate battles, the Bombay High Court today asked elder brother Mukesh's RIL to supply gas from the KG basin at USD 2.34 mBtu to the former's group firm.
Reliance Natural Resources Ltd (RNRL) today led the pack of gainers among the ADAG group companies, with a surge of over 24 per cent or a Rs 3,438 crore gain in its market cap.
In just a single trading session the market capitalisation of RNRL swelled to Rs 17,694.96 crore today from Rs 14257.22 crore on Friday last.
The other major gainers in the ADAG pack include Reliance Power which saw a gain of Rs 1,990 crore in its m-cap while, Reliance Infrastructure's m-cap surged by Rs 364.54 crore.
However, three other ADAG group firms-- Reliance Capital, Reliance Communications and Adlabs settled for in negative territory today and collectively lost Rs 3,365 crore.
"The positive momentum after the court ruling brought back encouragement to the ADAG pack. But if Reliance Industries goes to the Supreme Court it will start another long drawn battle. Keeping this in mind, the today's bull run in the ADAG pack looks short term," SMC Capital Equity Head Jagannadham Thunuguntla said.
Among the Mukesh Ambani group Reliance Petroleum lost Rs 4,725 crore and RIIL lost Rs 95.73 crore.
Asking the Reliance Industries to enter into a fresh "suitable agreement" within a month, a division bench of Justices JN Patel and KK Tated said that the new agreement should be as per the Memorandum of Understanding (MoU) between the Ambani brothers Mukesh and Anil.