The Anil Ambani-led Reliance Capital on Tuesday said that the Offer for Sale (OFS) of its stake in Reliance Nippon Life Asset Management Ltd. (RNAM) had received an excellent response from investors.
In a statement issued here, Reliance Capital said it had exercised the "Green-Shoe" option and would sell over 8 per cent of its shareholding in RNAM through the OFS aggregating approximately Rs 1,100 crore.
The company announced the OFS of its shareholding in RNAM in order to comply with the mandatory requirement of achieving a Minimum Public Shareholding of 25 per cent by reducing the promoter stake.
The RNAM entire stake monetization proceeds of about Rs 6,000 crore and the already announced transaction with Nippon Life Insurance Company of Japan would be utilised to reduce Reliance Capital's outstanding debt.
The final price for the OFS of RNAM shares was at Rs 222 per share as against the base offer price of Rs 218 per share.
Based on the above, and other asset monetization deals presently underway, Reliance Capital expects to reduce its debt by at least Rs 12,000 crore, or 70 per cent, in the current financial year.
--IANS
vj/pg/ksk
Disclaimer: No Business Standard Journalist was involved in creation of this content
You’ve reached your limit of {{free_limit}} free articles this month.
Subscribe now for unlimited access.
Already subscribed? Log in
Subscribe to read the full story →
Smart Quarterly
₹900
3 Months
₹300/Month
Smart Essential
₹2,700
1 Year
₹225/Month
Super Saver
₹3,900
2 Years
₹162/Month
Renews automatically, cancel anytime
Here’s what’s included in our digital subscription plans
Exclusive premium stories online
Over 30 premium stories daily, handpicked by our editors
Complimentary Access to The New York Times
News, Games, Cooking, Audio, Wirecutter & The Athletic
Business Standard Epaper
Digital replica of our daily newspaper — with options to read, save, and share
Curated Newsletters
Insights on markets, finance, politics, tech, and more delivered to your inbox
Market Analysis & Investment Insights
In-depth market analysis & insights with access to The Smart Investor
Archives
Repository of articles and publications dating back to 1997
Ad-free Reading
Uninterrupted reading experience with no advertisements
Seamless Access Across All Devices
Access Business Standard across devices — mobile, tablet, or PC, via web or app