Reliance Industries hit the lifetime high on the indices last week as the Reliance demerger with Jio Financial Services. The Reliance and Jio Financial Services demerger will give a share price more values as per the market speculations. Lets talk about the demerger details here:
Jio Financial Services Reveals Pricing and Listing Details
- Jio Financial Services’ share price (reveals price) is ₹261.85 per share – above than the market estimated that was around ₹200 per share.
- Jio Financial Services will list the indices at the last traded price which is effective at the opening of JFSL listing date + 3 business days.
Reliance Demerger Key Record Date
- The demerger key record date is July 20 for the subsidiary “Reliance Strategic Investments”.
- July 19 is the last date to buy Reliance shares to be eligible for the demerger benefits.
- “Reliance Strategic Investments” will be renamed “Jio Financial Services” and listed on exchanges. As of now, the Jio Financial Services listing price is not announced yet.
Reliance Demerger Ratio
Reliance Industries shareholders are to get 1 share of “Reliance Strategic” aka “Jio Financial Services” for every 1 share of Reliance Industries. Hence the demerger ratio will be 1:1.
Price Discovery
As per the market speculations, there will be a special pre-open session (SPOS) on July 20 from 9 AM to 10 AM for price discovery. Stay tuned and keep waiting for the big day.
How to Calculate Constant Price
Let’s assume if the Reliance Industries share price is 2800 on July 19 and discovered price is 2600 on July 20 then the constant price will be Rs. 200 per share for Jio Financial Services on listing.
Trading in Jio Financial Services after Demerger
The demerged share of Jio Financial Services will subsequently be excluded after it starts trading on T+3 day.
