Reliance Industries share price rose more than 2 percent in the morning trade on April 29 on reports that the talks between Saudi Aramco and RIL have been revived for the sale of a 20 percent stake in the Indian company's oil refining and petrochemical arm.
Saudi Aramco and RIL had revived talks on a cash and share deal for the sale of a 20 percent stake in the Mukesh Ambani-led company's oil refining and petrochemical arm, the London-based Financial Times reported on April 28, citing three people familiar with the development.
RIL declined to comment on the report. While no official statement was issued by Aramco either, Saudi Arabia Crown Prince Mohammed bin Salman gave room to speculation by claiming that talks were underway for the sale of a minority stake in the state-run company to a foreign investor.
Foreign broking house Jefferies has reiterated the "buy" call with a target price at Rs 2,600 per share.
According to the reports, the talks revived to finalise Aramco's 20 percent stake buy in O2C business. The deal will help reduce the company’s carbon footprint, said Jefferies.
It will also reduce debt and fund phase 1 of its energy transition capex, while benefits would depend on cash and Aramco stock that will comprise the consideration, it added.
Earlier this week, RIL and BP announced the start of production from the Satellite Cluster gas field in block KG D6 off India's eastern coast.
RIL board of directors is scheduled to meet on April 30 to consider and approve the standalone and consolidated audited financial results for the quarter and the year ended March 31, 2021. The board will also consider the recommendation of a dividend.
At 0938 hours, Reliance Industries was quoting at Rs 2,027.85, up Rs 31.80, or 1.59 percent on the BSE.
The share touched a 52-week high of Rs 2,368.80 on September 16, 2020 and a 52-week low of Rs 1,378.83 on April 28, 2020. It is trading 14.39 percent below its 52-week high and 47.07 percent above its 52-week low.Disclaimer: MoneyControl is a part of the Network18 group. Network18 is controlled by Independent Media Trust, of which Reliance Industries is the sole beneficiary.