Jio Financial Services (JFSL), which was spun off from Reliance Industries Ltd (RIL), will be listed on Indian stock exchanges on August 21, Monday.
“Trading Members of the Exchange are informed that effective Monday, August 21, 2023, the equity shares of Jio Financial Services Ltd (Formerly known as Reliance Strategy Investments Limited) will be listed and allowed to trade on the Exchange in the T Group of Securities,” said a notice on BSE.
The listing of Jio Financial Services is scheduled just a day before the FTSE Russell plans to remove the stock from its indexes.
FTSE Russell has indicated earlier that it will remove Jio Financial Services from some FTSE Indices for not initiating trading after 20 business days. A notice shared by the index service provider said the company has also not announced a firm trading date since its inclusion on July 20, and the omission will take effect from August 22. .
Jio Financial Services is currently listed under a pseudocode and no transactions have taken place in the script.
The BSE announcement adds: “The script will be in the exchange-for-trade segment for 10 trading days.
Shares of Jio Financial Services have been credited to qualified RIL shareholders since the record date of July 20 at a 1:1 ratio.
The value of Jio Financial Services stock price is taken from $261.85 each on the NSE after a special pre-open call options auction held on stock exchanges on July 20.
The spot price of JFSL stock was much higher than the expectations of analysts, who valued it at $125-225 and acquisition cost of RIL $133.
Read here: Reliance demerger: Valuable Jio Financial Services $261.85, beating analysts’ estimates
Shares of Jio Financial Services will be maintained in all NSE and BSE Indices, including Nifty and Sensex, at unchanged price until separately listed.
JFSL stock will be removed from all NSE and BSE T+3 indices 3 days after listing.
Although the JFSL listing date has now been set for August 21, the stock will be required to be removed from the indexes on August 24.
Also read: RIL-Jio Financial Separation FAQ: Here’s What Shareholders Need to Know
The oil-to-telecommunications group led by billionaire Mukesh Ambani has previously announced the separation of Reliance Strategy Investments Ltd., which will become Jio Financial Services and the merger ratio is fixed at 1:1.
Share price of Reliance Industries jumped more than one percent after the announcement of the listing date of Jio Financial Services.
At 2:40 p.m. Reliance stock was trading 1.07% higher at $2,564.80 per person on BSE.
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Update: August 18, 2023, 02:50 pm IST