The reply is awaited from RIL's front, but investors have once again cheered the stocks of both RIL and Future Group's retail subsidiaries listed on exchanges. Notably, the latter's retail companies have even clocked an upper circuit limit on exchanges.
Chec the Buzz!
According to two people familiar with the details of the deal, LiveMint reported saying, RIL is close to buying Future Group’s retail assets for Rs24,000-27,000cr to bolster its position in India’s retail segment. The estimated deal value includes the liabilities of Future Group that Reliance plans to absorb.
Reportedly, five listed entities, including Future Retail Ltd, Future Consumer, Future Lifestyle Fashions, Future Supply Chain and Future Market Networks, will be merged into Future Enterprises Ltd (FEL) before the sale of the assets.
Notably, RIL and Kishore Biyani-led Group's acquisition buzz has been circulating since the start of this month. Earlier on July 10, RIL had clarified saying on another news report involving similar buzz," the company evaluates various opportunities on an ongoing basis" in a filing to exchanges. RIL added that time, "would like to clarify that we are unable to comment on media speculation and rumours and it would be inappropriate on our part to do so."
At around 1.24 pm, the RIL stock was trading at Rs2,191.25 per piece, higher by Rs35.40 or 1.64%. The stock has gained to an intraday high of Rs2193.40 per piece.
Meanwhile, the Future Group's five retail companies have gained by 5% each on Sensex, with Future Supply Chain trading at the upper price band of Rs143.40 per piece, Future Consumer at Rs9.70 per piece, Future Retail at Rs105.35 per piece, Future Market at Rs21.50 per piece and Future Lifestyle at Rs110.30 per piece.
Even Future Enterprise gained by 5% performing at the upper circuit limit of Rs14.15 per piece.