MUMBAI: Surpassing market expectations, the share price of Jio Financial Services was set at Rs261.85 apiece at the end of a special pre-open call auction session conducted on the National Stock Exchange on Thursday morning. At this price, the newly created financial services arm of Reliance Industries Limited (RIL) is valued at Rs1,60,000 crore or around $20 billion. Most of the analysts had valued JFS, which is set to be spun out of RIL today, at around Rs150-200 per share.
NSE and BSE held a pre-open call auction session for RIL between 9 am to 10 am which was aimed at determining the share value of Jio Financial Services.
The shares of JFS are not tradable yet and will remain in the indices of stock exchanges at a constant price till the listing date is announced. JFS will be removed from the indices three days after it lists as a separate entity and Reliance’s weight will be adjusted back.
Reliance, on Thursday, informed shareholders in a regulatory filing that the post-demerger cost of acquisition of RIL shares is 95.32 per cent and RSIL share is 4.68 per cent.
The share ratio for the demerger process is 1:1, which means that Reliance shareholders as of the record date will be eligible to receive one share of JFSL for every one share of RIL held.
