• About
  • Contact
Wednesday, January 20, 2021
Next Big Brand
  • .
  • News
  • Internet
  • Startup
  • OTT
  • Agency
  • Industries
  • FMCG
  • Automobile
  • Retail
  • Tech
  • Case Study
  • Interview
No Result
View All Result
Next Big Brand
Home Industries

Reliance Jio Market Value Rises By $15 Billion Post Restructuring

Pritish raj by Pritish raj
October 29, 2019
in Industries, News
2 min read
0
Relinace Jio Market Value-nextbigbrand.in

Jio-logo-blue-source Telecoms

Share on FacebookShare on Twitter
  • The market value of Reliance Jio is expected to be between $60-65 billion after the restructuring in which parent Reliance Industries Ltd has taken up almost all of its debt.
  • Reliance Industries had previously announced that it would sell a 20% stake in its oil-to-chemicals business to Saudi Aramco at $75 billion, making it one of the country’s largest foreign direct investment (FDI) deal.

The market value of Reliance Jio is expected to be between $60-65 billion after the restructuring in which parent Reliance Industries Ltd has taken up almost all of its debt. Analysts said this would help Reliance get into the telecom project as a strategic partner.

“This addresses the issues arising from any potential subsidization of the Oil 2 Chemical (O2C) entity as and when the proposed sale of the Saudi stake takes place,” said JP Morgan’s research report. “In our view, if we see a strategic partner taking a meaningful (over 20 percent) stake in these EV valuations, the key positive would be.”

Reliance Industries had previously announced that it would sell a 20% stake in its oil-to-chemicals business to Saudi Aramco at $75 billion, making it one of the country’s largest foreign direct investment (FDI) deal.

There were some questions about this contract, however. Analysts said the move to make Jio debt-free would help RIL get a better value for the telecommunications company, which in effect would serve as a buffer if the agreement with Aramco was postponed or renegotiated.

“Some investors have recently expressed concern about a scenario where the RIL-Aramco transaction is not concluded within the timeframe announced.

We believe that such a risk is now well balanced by the prospect of an alternative deal in its digital platform, “analysts at HSBC said.

RIL announced on October 25 that it will create a wholly-owned subsidiary in which it will combine its entire telecom (Jio) and digital enterprises/investments.

RIL has positioned this new structure as India’s largest digital services platform agency, hosting both connectivity (Jio) and other digital infrastructure investments (various apps and software capabilities). RIL claims it can leverage its subscriber base to build one of the world’s most important digital service platforms.

But the reorganization is not changing anything for now for RIL investors. “The reorg has no implications for RIL’s unchanged combined net debt, with Jio’s net debt lower and correspondingly higher standalone net debt. Jio’s net debt is better positioned to meet this debt due to stable cash flows per mgmt. This also has no implications for investors as there is no effective change in RIL’s ownership of its virtual enterprises,” said Citi’s research report.

Tags: Jio Market RevenueJio ValuationRIL
Previous Post

The Benefits of Running That Make You Healthier and Happier

Next Post

Owner Of Fashion Giant Louis Vuitton Offers $14.5 billion to Tiffany & Co.

Pritish raj

Pritish raj

Pritish Raj is a content writer at Next Big Brand. Hailing from the diversified state of Bihar, he is an engineer by education who chooses the way of poetry, photography, and writing to kick off his career. Highly enthusiastic about brands and startups, he aims to be a travel content creator.

Related Posts

Indian Government Strictly Asks WhatsApp to Withdraw New Policy Change
News

Indian Government Strictly Asks WhatsApp to Withdraw New Policy Change

January 19, 2021
Agri-Tech Start-Up DeHaat Raises $30 Million of Funding in the Series C Round
News

Agri-Tech Start-Up DeHaat Raises $30 Million of Funding in the Series C Round

January 19, 2021
Hike Messaging App Shuts Down: Vanishes from Play Store and App Store
News

Hike Messaging App Shuts Down: Vanishes from Play Store and App Store

January 19, 2021
Cure.fit Empowers its US Operations with Onyx Acquisition
News

Cure.fit Empowers its US Operations with Onyx Acquisition

January 18, 2021
Big Bull Backed Nazara Technologies Becomes first Indian Gaming Company to File for IPO
News

Big Bull Backed Nazara Technologies Becomes first Indian Gaming Company to File for IPO

January 19, 2021
Under Pressure WhatsApp Delays its Controversial New Policy Update
News

Under Pressure WhatsApp Delays its Controversial New Policy Update

January 16, 2021
Next Post
Louis Vuitton- Next Big Brand

Owner Of Fashion Giant Louis Vuitton Offers $14.5 billion to Tiffany & Co.

Leave a Reply Cancel reply

Your email address will not be published. Required fields are marked *

This site uses Akismet to reduce spam. Learn how your comment data is processed.

RECOMMENDED NEWS

RIL Netmeds- Next Big Brand

Reliance Industries (RIL) Acquires Majority Stake In Netmeds For Rs 620 crores

5 months ago
Angelo George appointed new Bisleri CEO

Angelo George appointed new Bisleri CEO

2 years ago
Ambani Family Is Wealthiest Family In Asia With Combined Wealth $76 Bn

Ambani Family Is Wealthiest Family In Asia With Combined Wealth $76 Bn

2 months ago
Kia Seltos- next big Brand

Kia Motors Post Highest Monthly Sales In India With Sale Of Seltos

12 months ago

FOLLOW US

  • 22.3k Fans

BROWSE BY TOPICS

2018 League amazon Amazon Great Indian Sale Amazon Prime Apple Apple Inc Automobile Industry Balinese Culture Bali United Budget Travel Champions League Chopper Bike Doctor Terawan facebook Facebook app future group hotstar Indian OTT Platforms Indian Smartphone Market Istana Negara Jio Market Stories Maruti Suzuki National Exam Netflix Netflix India Netflix Originals oppo OTT OYO Realme Reliance Industries Limited Reliance Jio RIL Samsung Tata Motors Tiktok TikTok India TikTok Videos Visit Bali Vivo whatsapp Xiaomi Xiaomi India YouTube
Next Big Brand

We Talk About Brands

Follow us on social media:

Recent News

  • Understanding AI- Powered Tech Platform for School Children Skill Development with Amit Bansal
  • Indian Government Strictly Asks WhatsApp to Withdraw New Policy Change
  • Agri-Tech Start-Up DeHaat Raises $30 Million of Funding in the Series C Round

Instagram

Follow Me!

Latest News

Understanding AI- Powered Tech Platform for School Children Skill Development with Amit Bansal

Understanding AI- Powered Tech Platform for School Children Skill Development with Amit Bansal

January 19, 2021
Indian Government Strictly Asks WhatsApp to Withdraw New Policy Change

Indian Government Strictly Asks WhatsApp to Withdraw New Policy Change

January 19, 2021
  • About Us
  • Privacy Policy
  • Terms and Conditions
  • Disclaimer
  • DMCA Policy
  • Our Team
  • Contact Us
  • Sitemap

© 2019 NBB. All Rights Reserved.

No Result
View All Result
  • .
  • News
  • Internet
  • Startup
  • OTT
  • Agency
  • Industries
  • FMCG
  • Automobile
  • Retail
  • Tech
  • Case Study
  • Interview

© 2019 NBB. All Rights Reserved.

Login to your account below

Forgotten Password?

Fill the forms bellow to register

All fields are required. Log In

Retrieve your password

Please enter your username or email address to reset your password.

Log In
This website uses cookies. By continuing to use this website you are giving consent to cookies being used. Visit our Privacy and Cookie Policy.