Future Retail, Future Enterprises hit upper circuit as Sebi clears RIL deal

Shares of Future Retail and Future Enterprises rose nearly 5 per cent and hit upper circuit limits after Sebi cleared Future Group's proposed multi-billion dollar deal with Reliance Industries Ltd.

On the BSE, Future Retail Ltd's shares hit the upper circuit of Rs 81.35, rising 4.97 per cent over the previous close.

Future Enterprises Ltd's stock gained 4.98 per cent to touch the upper circuit limit of Rs 12.01.

Meanwhile, Reliance Industries Ltd (RIL) was trading at Rs 2,114.8 during the late morning trade, rising 2.91 per cent.

On Wednesday, Sebi gave a go-ahead to Future Group's scheme of arrangement and sale of assets to Reliance Industries.

Based of this, the BSE also granted its "no adverse observation" report to the Rs 24,713-crore deal.

Amazon had written several letters to the SEBI and other regulatory agencies to suspend their review of the deal and not grant it a no objection certification on ground that its challenge to the agreement was before the Delhi High Court.

"It is observed that there are certain ongoing litigations/arbitration/legal proceedings against the draft scheme," the Sebi said.

"In view of the same, the company is advised that these comments of SEBI on the draft scheme of arrangement are subject to the outcome of any of the ongoing litigations/arbitration/legal proceeding involving the draft scheme and/or the decision by any competent authority/competent court in this regard," it said.