Reliance Industries Limited logo.
Credit: PTI Photo
New Delhi: Reliance Industries Limited (RIL), India’s most valuable company, on Thursday announced a plan for the issuance of bonus shares under which the company’s shareholders will get an additional share for each one they already hold.
The company’s board of directors will meet on September 5 to consider and recommend a bonus share issuance in the ratio of 1:1 to the equity shareholders, RIL said in a regulatory filing to the stock exchanges.
This will be the first issuance of bonus shares by Mukesh Ambani-led Reliance Industries in seven years. RIL’s last bonus share announcement was in 2017. The move will improve the liquidity of RIL’s shares in the stock market, making them accessible to a wider base of investors.
The share price of RIL surged by more than 2% after the announcement regarding the bonus share. It closed 1.51% higher at Rs 3040.85 at the BSE on Thursday.
Meanwhile, Mukesh Ambani outlined a vision for making Reliance Industries one of the world’s top 30 valuable companies.
“Reliance took over two decades to be amongst the top 500 companies globally. The following two decades saw us joining the league of the world’s top 50 most valuable companies,” Ambani said while addressing RIL’s annual general meeting.
“With our strategic adoption of Deep-Tech and Advance Manufacturing, I can clearly see Reliance earning a place in the top 30 league in the near future,” he added.
With a market capitalisation of nearly Rs 21 lakh crore, RIL is currently, India’s most valuable listed company and ranks 45th globally. In USD terms, RIL’s market capitalisation is close to $250 billion.
Ambani claimed that RIL has become a net producer of tech. “Breakthrough tech has always been the greatest wealth creators for nations and corporates. RIL internalised this Vikas mantra at every stage of growth. In recent years this mantra is transforming RIL into a deep-tech company,” he said.
One of the world’s wealthiest persons Mukesh Ambani said he was not pursuing short-term profit or hoarding wealth. “We are in the business of creating wealth for India and enhancing the quality of life of every Indian, every single day,” he said.
Ambani announced that Jio users will receive up to 100 GB of free cloud storage to securely store and access their digital content, including photos, videos, documents, and data. “And we will also have the most affordable prices in the market for those needing even higher storage,” he added.
Ambani said “Jio AI-Cloud Welcome offer” would be launched in Diwali this year.