Shares of Jio Financial Services Ltd. (JFSL), a division of Reliance Industries Ltd. (RIL), demerged on Monday and listed for Rs. 265 per share on the BSE as opposed to Rs. 261.85 at the time of discovery.
The share price on the NSE was Rs 262 per unit.
The JFSL shares were down 5% on the BSE at 10:15 am, trading for Rs 251.75 a share. During the early morning transactions, it reached a high of Rs 278.2 and a low of Rs 251.75.
JFS was spun off by Reliance on July 20, and during a special trading session, the stock price was fixed at a significantly higher-than-anticipated Rs 261.85, valuing the company at roughly Rs 1.66 lakh crore ($20 billion).
With this valuation, it outshines industry giants like Tata Steel, Coal India, Indian Oil, and SBI Life to rank as the 32nd largest valuable firm in the world and the second-largest NBFC in India after Bajaj Finance.
The separation will strengthen Reliance’s consumer businesses and rank as the fifth-largest financier in terms of net worth, directly competing with Paytm and Bajaj Finance, among others.
Shares of JFSL will be authorised for trading on the exchange under the T Group of Securities, according to a circular issued by BSE last week. The stock will spend 10 trading days in the Trade-for-Trade section.
Shares in the Trade-to-Trade segment of the stock market are only traded on a delivery basis, which prohibits taking stock delivery the same day. This is done to avoid manipulation of prices and volatility. As a monitoring tool, the T Group represents securities that are resolved trade for trade.
On August 12, JFSL distributed to RIL stockholders as of the record date of July 20 a total of 635.32 crore equity shares with a face value of Rs 10. The total number of RIL shareholders as of June 30 was 35.06 lakh.
