Reliance Industries Ltd (RIL) shares climbed over 3 per cent in Thursday's trade as the company informed stock exchanges that its board of directors would meet on September 5 to consider issuing bonus shares in the ratio of 1:1 to the equity shareholders of the company by capitalisation of reserves.
The RIL stock rose 2.63 per cent to hit a high of Rs 3,074.80 on BSE. With this, the stock is up 18 per cent year-to-date. The announcement came just ahead of the oil-to-telecom major's 47th AGM, scheduled for 2 pm today.
"A a meeting of the Board of directors of the company is scheduled to be held on Thursday, September 5, 2024 to consider and recommend to the shareholders for their approval, issue of bonus shares in the ratio of 1:1 to the Equity Shareholders of the Company by capitalization of reserves," RIL said in a BSE filing.
Kushal Gandhi, Technical Analyst at StoxBox said the RIL price action analysis on the weekly timeframe shows that the scrip has been trending with higher lows, indicating strength in the primary trend.
"The price action recently succumbed to modest profit booking and showed resilience to drawdowns below its shorter-term weekly exponential moving averages. The stock faces overhead resistance near Rs 3,020, and with a decisive close above this hurdle, the price action is anticipated to attain the target of Rs 3,220 in the short term," Gandhi said.
Investors were keenly awaiting any commentary on listings of Reliance Jio Infocomm (Rjio) and Reliance Retail Ventures Ltd and strategic stake sale in oil-to-chemicals (O2C) business.
How much have been invested in the new energy business -- the next growth avenue where the oil-to-telecom major is infusing Rs 75,000 crore; and how soon will it start delivering earnings is also on investor radar.
Besides, the 5G monetisation plan and further updates on the succession plan would be keenly watched.
At the AGM speech, Ambani said demerging of Jio Financial Services created significant value for shareholders, adding that JFS will continue to create great value for the nation and shareholders.
"This past year, we completed the pan-India rollout of Jio True 5G, the world’s largest and fastest 5G deployment. Over 85% of the 5G radio cells operating in India belong to Jio. With the widest coverage and the highest quality, Jio True 5G now reaches every corner of India. Jio has transformed India from 5G-dark to 5G-bright, creating one of the world’s most advanced 5G networks," Ambani said.
"Through unmatched spectrum holdings, 5G Standalone Architecture, and advanced technologies like Carrier Aggregation and Network Slicing, Jio is the only operator in India, and among the first globally, to fully harness 5G’s power. Jio True 5G has also achieved the world’s fastest 5G adoption. In just two years, over 130 million customers have embraced Jio True 5G," Mukesh Ambani said.