Reliance Comm hits 31.5-month high on realty demerger

Moneycontrol Bureau

Reliance Communications shares are excited on Monday, rising more than 9 percent in early trade to touch a 31.5 month high of Rs 148 apiece on the Bombay Stock Exchange. The telecom giant is going to demerge its real estate business into a separate listed company called Reliance Properties in an effort to unlock value of its headquarters in Mumbai. Reliance Communications' shareholders will be allotted Reliance Properties shares for free in the ratio of 1:1. Reliance Properties, which is valued around Rs 10,000-12,000 crore, is likely to get listed within next three months. The total shares outstanding for Reilance Communications stand at 206.4 crore, so the shares of the new entity are likely to be valued at Rs 40-60/share. Market capitalisation of the company currently stands at Rs 29,567.19 crore. At 09:49 hours IST, the stock was quoting at Rs 143.25, up 5.64 percent. It rallied 21 percent in last seven days and 127 percent in three months. Also Read - Reliance Communications clears debt of Rs 6,000 cr