Reliance Industries share price rose half a per cent on Monday (August 28) to hit an intraday high of Rs 2,484.00 on NSE ahead of Mukesh Ambani led-conglomerate's 46th annual general meeting. Shares of recently demerged Jio Financial Services (JFL) also jumped over 2.5% to Rs 220.80 on NSE.
The 46th annual general meeting of Reliance Industries (RIL) will begin at 2:00 PM (IST), will be held through video conferencing. The AGM can be joined via video conferencing (VC) or other audio-visual methods. Investors have the option to watch the meeting using the Jiomeet link provided by RIL.
Continue viewing BT Visual Story
Catch the latest business news, share market updates, expert analysis and exclusives only on BTTV.in
Reliance Industries AGM on August 28 comes just a few days after Jio Financial Services' listing, and Qatar Investment Authority's acquisition of stake in Reliance Retail Ventures Limited (RRVL). The oil-to-telecom major's AGM has become more about its newer divisions that are growing rapidly, even though the O2C segment still forms the biggest chunk of the conglomerate's revenue.
In the 46th RIL AGM, investors would focus on the timeline for potential listings of retail and telecom businesses, updates on digital and oil-to-chemical (O2C) businesses, progress of various Clean Energy projects and future 5G plans. Any update on the recently demerged business Jio Financial Services (JFS) would be keenly eyed.
Investors are eagerly waiting for more value to be unlocked in RIL's telecom and retail divisions. In the previous AGM, RIL Chairman Mukesh Ambani had mentioned that he would update them on Jio and Retail IPOs during the next AGM. "I will take up your inputs with our board of directors on the question on IPO for Jio and Retail. The principles on timing and valuation of IPOs remain unchanged. I have outlined the plans for both businesses. I will update you on the IPO in my speech next year,” he had said.
The listing of Jio Financial Services was the big event in the week gone by. From today's RIL AGM, analysts and investors expect to know more about the areas JFS wishes to venture into as a non-banking financial company. As of now, JFS has only announced a partnership with Blackrock to float a mutual fund company. While analysts say consumer and merchant lending is inevitable for JFS, many investors also expect it to go big in the insurance space.
Reliance Industries has committed to $10 billion of investment over three years in the new energy business, and becoming net carbon zero by 2035. Analysts noted that multiple investments in the 'New Energy' segment are starting to play out for RIL gradually. ICICI Securities said the AGM should provide some more meaningful update on the pace and direction of investments in this segment over the next few years.
Reliance Retail Ventures (RRVL) has been aggressive in reaching different consumer segments with the rollout of new format stores like Tira and Yousta. It has also expanded its FMCG brand 'Independence' to north India. Going ahead, analysts expect RIL's retain arm to be aggressive on e-commerce, strengthen the supply chain, and focus on more acquisitions. On this front, the company’s Executive Director Isha Ambani is expected to make significant announcements.
Reliance Jio is reportedly likely to launch Jio 5G smartphones in India. According to Arihant Capital, the launch of 5G devices at a reasonable price and updates on succession from the company is expected. Besides, Reliance Jio’s 5G plans will also be closely followed. It is likely to announce new Jio 5G plans for different cities across the country. The conglomerate is also expected to announce its complete rollout of 5G services at the AGM.
Brokerage firm JM Financial expects investors to keenly follow updates on any potential strategic stake sale in O2C business. The firm had earlier said, that its key priorities include transitioning from producing transportation fuels to chemical building blocks, transitioning from fossil fuels to renewables to meet energy demand, transitioning from traditional to advanced mobility with EV solutions and accelerating gas economy through growth of CNG and Bio CNG network.