Reliance Industries’ arm picks up 21% stake in Wavetech Helium

29 Nov 2024 , 01:20 PM

Reliance Industries (RIL) shares are under scrutiny on Friday following the acquisition of a 21% ownership in US-based Wavetech Helium, Inc. by its step-down subsidiary, Reliance Finance and Investments USA LLC, for around $12 million.

The transaction was completed on November 27, 2024, with the signing of a stock purchase agreement.

At around 12.31 PM, Reliance Industries was trading 1.80% higher at ₹1,293.65 per piece, against the previous close of ₹1,270.80 on NSE.

WHI is a helium gas exploration and production business based in the United States that acquires, explores, and develops assets for the production of helium gas from subterranean reservoirs.

It was formed in the United States on July 2, 2021, and began commercial operations in fiscal year 2024.

Helium is employed in a variety of applications, including medicine, scientific research, aerospace and aeronautics, electronics, and fiber optics. Furthermore, given the predicted expansion in AI and datacenters, helium demand for semiconductor fabrication is expected to rise.

“The acquisition is part of the company’s strategy to expand its exploration and production business in low carbon solutions,” RIL stated, adding that the investment is not a related party transaction and that none of the company’s promoters or promoter group companies have any interest in the transaction.

For feedback and suggestions, write to us at [e-mail]