Jio Financial Services hits 5% upper circuit on likely block deal
Jio Financial Services hit the 5% upper circuit on Wednesday following a likely block deal in pre-market trade wherein 12.7 lakh shares of the company changed hands. The development invited a strong investor response with over 1.58 crore shares trading on the NSE in the opening trade.
The block deal reported by ET NOW is the second in a row and follows a deal on Tuesday which saw 0.8% equity changing hands.
Jio Financial counter had hit 5% upper circuit reacting to the development.
On Wednesday, JFS shares were also the top Nifty gainers around 9:40 am. The two-day rally has helped the stock recover nearly 10% though it is still trading at an 11% discount from the constant price of Rs 261.8 at which it was added to key indices on July 20 for a temporary period.
The stock has fallen in five out of seven trading sessions until Tuesday.
The current market cap is Rs 1.46 lakh crore, which is down from Rs 1.61 lakh crore as on July 20.
The shares of the newly-listed JFSL had ended 5.7% lower from the day's high on Monday as shareholders appeared unimpressed by the Annual General Meeting (AGM) of Reliance Industries (RIL) that was televised live. The Chairman and Managing Director Mukesh Ambani revealed little about future plans in the highly competitive and regulated business at the annual general meeting (AGM) of Reliance Industries.
Ambani's announcement that JFSL will enter the insurance segment came as no surprise to investors as the company's information memorandum has already laid out four key businesses that the company intends to target — retail lending, asset management, insurance broking and digital payments.
During the AGM, Ambani announced that JFSL will soon offer simple and smart products in life, general, and
