Reliance Industries will raise ₹53,125 crore through its first rights issue in three decades, hive off its oil-to-chemicals business, and is “in good shape” to make an announcement comparable with Facebook’s investment in Jio Platforms. RIL also hopes to be debt-free before its March 2021 target, it said while announcing quarterly results.
RIL’s consolidated quarterly net profit rose 3.7% to ₹10,813 crore before exceptional items, which is the inventory loss because oil prices fell 73%. “This has been disclosed as an Exceptional Item of ₹4,245 crore, net of tax (tax ₹899 crore),” it said. Net profit, including exceptional items, fell 37.2% to ₹6,546 crore. The consumer businesses did well, as Jio’s profit almost trebled to ₹2,331 crore, while Reliance Retail’s EBITDA rose 33% to ₹2,556 crore.
The rights issue, along with the Jio-Facebook deal and BP’s investment in previous fiscal, will help RIL raise ₹1.04 lakh crore in the current quarter, it said.