Jio Financial to make its D-Street debut on Monday
Jio Financial Services (JFSL), the demerged financial services business of Reliance Industries, will list on the stock exchanges on August 21. Shares of Jio Financial were credited to investors' demat accounts last week. Under the demerger arrangement, shareholders of Reliance got one share of the demerged entity for every share held.
The record date was July 20. According to a BSE circular, the stock will trade in the trade-for-trade segment for the first 10 trading sessions. In the trade-for-trade segment, shares cannot be bought and sold on the same day.
Reliance announced the demerger of its financial services undertaking into Reliance Strategic Investments, which was renamed Jio Financial. The shareholding pattern in Jio will be the same as Reliance Industries. The demerger of the financial services business involves a spin-off of Reliance Industries' 6.1% treasury shares.
Jio Financial has been valued at ₹1.6 lakh crore after its stock was priced at ₹261.8 per share following a special trading session on July 20. Jio's price was the difference between Reliance's closing price of ₹2,841.8 on July 19, the previous day of the record date, and the price of ₹2,580, which was derived during the special session on July 20. Jio Financial has been included in the Nifty50, BSE Sensex, and other indices and will remain at a constant price until the stock is listed independently.
The stock will be removed from all indices on T+3 day, which is August 24. Brokerage Nuvama said Nifty passive funds could sell around 90 million shares of Jio, worth approximately $290 million, assuming the stock price is at ₹261.8 on August 24 — the day when the stock is removed from the main indices. «Alongside Sensex Index trackers could sell 55
. Read more on economictimes.indiatimes.com
