Jio Financial demerger: Reliance shares jump 1.5% after special trading session

By India Today Business Desk: Reliance Industries Limited (RIL) witnessed a significant surge of over 1.5 per cent in its share price after the conclusion of the special trading session held to determine the share price of Jio Financial Services, its demerged financial arm.

Following the session’s outcome, the share price of Jio Financial Services has been set at Rs 261.85 per share. This higher-than-expected valuation has contributed to the positive market sentiment surrounding Reliance Industries.

Meanwhile, Reliance’s stock ended the special trading session at Rs 2,580 apiece, compared to its previous close of Rs 2,841.85 on Wednesday. At around 10:18 am, shares of Reliance were up 1.44 per cent at Rs 2,617.05 apiece.

The surge in the parent company’s share price can be attributed to the favorable outcome of the valuation for Jio Financial Services, further solidifying Reliance’s position in the market.

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Analysts had earlier estimated the share price of Reliance Strategic Investments to be valued at approximately Rs 160-190 per share.

However, the actual valuation of 261.85 rupees has surpassed these predictions, indicating strong investor confidence in the company’s demerged financial services unit.

The demerger of Jio Financial Services from Reliance Industries was announced last October as a strategic move to create a dedicated entity for its financial operations.

The decision aimed to unlock potential value and provide investors with clearer insights into the company’s diverse business segments.