Reliance Nippon shares continue to gain; up 6%

Shares of Reliance Nippon Life Asset Management continued to gain Friday, rising 6 per cent after Reliance Capital said it has invited Nippon Life Insurance to acquire its entire 42.88 per cent stake in RNAM.

The company's shares jumped 6.09 per cent to close at Rs 198.45 on BSE. During the day, the stock zoomed 19.99 per cent to Rs 224.45.

Reliance Capital also gained 1.58 per cent to close at Rs 163.75. During the day, it advanced by 5.83 per cent to Rs 170.60.

Shares of Reliance Nippon Life Asset Management (RNAM) and Reliance Capital Thursday had zoomed up to 20 per cent.

Japan's Nippon Life Insurance already holds 42.88 per cent stake in RNAM.

"Reliance Capital has invited its partner, Nippon Life Insurance, to make an offer to acquire up to 42.88 per cent stake held by Reliance Capital in Reliance Nippon Life Asset Management," Reliance Capital said in a regulatory filing Thursday.

As per BSE data, as on December 31, 2018, Reliance Capital held 42.9 per cent stake in Reliance Nippon Life Asset Management.

Sources said the transaction could help clear around 40 per cent of Reliance Capital's outstanding debt worth Rs 18,000 crore.

Meanwhile, buying also continued in other group shares, with Reliance Naval and Engineering zooming 9.97 per cent, Reliance Home Finance 9.87 per cent, Reliance Infrastructure Ltd climbing 7.15 per cent, Reliance Communications rising 3.32 per cent and Reliance Power 1.34 per cent on BSE.

"Reliance Communications group has requested urgent approval from its lenders to release approximately Rs 260 crore received from Income Tax refunds, lying in its bank account, directly to Ericsson," a Reliance Communications Limited spokesperson said in a statement Thursday.