Reliance Industries becomes the first Indian company to have a market cap of ₹17 lakh crores

Earlier, the company’s subsidiary Reliance Strategic Business Ventures (RSBVL) obtained 2,28,42,654 equity shares of Rs 10 each of Strand Life Sciences for a cash consideration of Rs 393 crore.

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In the afternoon on September 27, the market was trading higher which is primarily backed by heavyweights like Reliance Industries (RIL), which reached a record high of Rs 2,525 within the day and was rated at Rs 2,522.90, up to Rs 39.95, or 1.61 per cent, on the BSE.

The investors are pitching on the company’s growth account, because of the evident growth on the front of Reliance Aramco deal, swiftly expanding the digital footprint of Reliance Jio, healthy increase forecasts of Reliance Retail, and the company’s policies for its renewable energy business, analysts said.

The share has increased above 27 per cent in 2021 after it stopped at Rs 1,984.65 on December 31, 2020. Initially, the company’s subdivision Reliance Strategic Business Ventures (RSBVL) obtained 2,28,42,654 equity shares of Rs 10 of Strand Life Sciences for cash compensation of Rs 393 crore.

An investment of up to Rs 160 crore is also assumed to be completed by March 2023, RIL said in an administrative filing, continuing that the total investment will interpret into 80.3 per cent of equity share capital in Strand on a fully diluted basis. Individually, ICICI Direct issued a holding call on Reliance Industries shares with a target price of ₹2,480 last week on September 22. The company’s shares at that time were trading at ₹2,425.

Reliance Jio’s position in the digital ecosystem, Reliance Retail’s dynamic store network extension, the potential of oil-to-chemical (O2C) business to be separated into another entity, and the company’s forthcoming ventures in new energy ambitions were likely to trigger these future price performance, according to ICICI Direct.

“Long term prospects and dominant standing of RIL in each of its product and service portfolio, provides comfort for long term value creation. RIL’s consumer business will be the growth driver going ahead. The company has a strong balance sheet post fundraising, while its traditional business will continue to generate steady cash flows. We initiate coverage on the stock with a HOLD recommendation,” the report reads.

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