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Reliance Industries Ltd has fixed Jul 20 as the record date for allotment of shares of its financial services arm Reliance Strategic Investments Ltd, the conglomerate said today in an exchange filing.
Reliance had previously announced plans to demerge its financial services undertaking into Reliance Strategic Investments Limited (RSIL) and rename and list it as Jio Financial Services Limited (JFSL). The National Company Law Tribunal earlier this month approved the proposed demerger of Reliance Strategic Investments. Following this, the demerger is effective from July 1, said the company on Thursday.
Jio Financial Services will lend to consumers and merchants based on proprietary data analytics and will eventually branch out to insurance, payments, digital broking and asset management.
“In accordance with provisions of the Scheme, Reliance Strategic Investments Limited shall issue and allot one fully paid-up equity share of RSIL having face value of Rs 10 each for every one fully paid-up equity share of Rs 10 each of the company (‘Resulting Company New Equity Shares’) to the shareholders of the company whose names are recorded in the register of members and/or records of the depository as on the record date,” RIL said in the filing.
Further, Hitesh Kumar Sethia will be the managing director and chief executive officer of Reliance Strategic Investments for a period of three years. “Hitesh Sethia is a financial services executive with over two decades of experience across Europe, Asia (India & Greater China) and North America. He has spent most of his career at ICICI Bank gaining functional experience and handling leadership roles across various departments such as credit, retail banking, corporate banking and transaction banking coupled with understanding of technology applications in financial services,” the filing said giving a brief profile of the new CEO.
