Life Insurance Corporation (LIC) on Tuesday said it has acquired 6.66 per cent stake in Jio Financial Services Ltd (JFSL), the demerged non-banking financial services unit of the Mukesh Ambani-led Reliance group, the PTI reported. The state-run insurer in a regulatory filing said, "... Corporation has acquired 6.660 per cent shareholding in 'Jio Financial Services Ltd' through demerger action by 'Reliance Industries Ltd'."
Jio Financial Services listed on the stock exchanges on August 21 (Monday). The market capitalisation of the financial services company stood at close to Rs 1.60 lakh crore.
According to the report, the LIC also said that the cost of acquisition of Jio Financial Services is 4.68 per cent of the pre-demerged cost of Reliance Industries. Shares of Jio Financial Services were trading at Rs 239.20 apiece, down 4.99 per cent, hitting the lower circuit limit for the second straight session on the BSE.
On Monday, the scrip listed at Rs 265 on the BSE, up 1.20 per cent against the Rs 261.85, the price fixed at a special price discovery session held last month. The stock later declined 3.85 per cent to hit Rs 251.75, its lower circuit limit.
JFSL stock will be in the trade-to-trade segment for the next 10 sessions. JFSL will primarily operate in the NBFC market and credit market segments and has strategic plans to expand its operations into insurance, digital payment, and asset management verticals. Share price of JFSL will be in the Trade-for-Trade segment for 10 trading days, hence, no intraday trading will be allowed in shares. Investors can perform only delivery based buying and selling under T2T Group stock.
"Trading members of the exchange are hereby informed that effective from Monday, August 21, 2023, the equity shares of Jio Financial Services Ltd (formerly known as Reliance Strategic Investments Limited) shall be listed and admitted to dealings on the exchange in the list of T Group of securities," BSE said in a notice on Friday.