Reliance Industries Ltd Rs 53,125 cr rights issue oversubscribed 1.59 times
Reliance Industries Limited on Wednesday said it had completed the successful closure of its Rs 53,125 crore rights issue with an oversubscription of nearly 1.59 times.
The Mukesh Ambani-owned company had opened the rights issue for subscription from May 20 with a simultaneous rights entitlement (RIL RE) platform, under which shareholders could freely trade their rights entitlement on a stock exchange for the first time ever, according to a report on Livemint website.
“The Rights Issue saw a huge investor interest, including from lakhs of small investors and thousands of institutional investors, both Indian and foreign,” a company statement said.
The public portion of the Rights issue was subscribed 1.22 times.
As per the stock exchange data, the rights priced at Rs 1,257 per share received bids for 551.30 million shares on BSE and 120.29 million shares on NSE.
The allotment of equity shares will take place on or about June 10, 2020.
RIL Chairman and managing director Mukesh Ambani called the success of the rights issue a “new and proud landmark in the history of India’s capital market.”
“Since the time of Dhirubhai Ambani, the Founder of Reliance Industries Limited, our shareholders have always been our biggest source of strength. Our decades old relationship based on trust has consistently spurred us to achieve more. We are delighted and humbled by their extraordinary show of confidence in the future of Reliance,” he said.
The success of RIL’s rights issue, seen in the context of the prolonged nationwide lockdown necessitated by the Covid-19 pandemic, is also a vote of confidence, by both domestic investors, foreign investors and small retail shareholders, in the intrinsic strength of the Indian economy,” he added.
He expressed confidence that the Indian economy will “bounce back to follow a high growth trajectory in the time to come in the world.”
(With inputs from PTI)