Reliance Shares Fall Ahead Of AGM; Here's What Shareholders Expect
Shares of Reliance Industries Ltd. fluctuated between gains and losses ahead of the oil-to-telecom conglomerate's latest annual general meeting.
Reliance's more than 30 lakh shareholders—as of March 2021—would want billionaire-promoter Mukesh Ambani to provide clarity on everything from stake sale to Saudi's Aramco and upcoming fifth-generation telephony to the net-zero carbon plan.
What investors may be looking for clarity on:
RIL's plan to meet the 2035 net-zero carbon target; clarity on consumer focus of the oil-to-chemicals business, and steps that its new energy and new materials businesses will take to attract ESG-focused investments.
Road map for its retail unit's proposed partnerships with producers, brands and merchants.
Operations of JioMart (now present in 200 cities) and fashion and lifestyle platform AJIO.
How Reliance Jio plans to accelerate digital transition; Jio is working with Qualcomm for its 5G rollout.
Reliance's planned tie-up with Google for the cheapest android phone. While it's facing supply and cost hurdles, the company is expected to unveil the phone at the AGM. Pricing would be key to win over feature phone subscribers. Jio recently tied up with Itel, a Chinese company, for low cost handsets.
Saudi Aramco's investment in the oil-to-chemicals business. Reliance signed a pact to sell 20% in the unit for $15 billion but negotiations have dragged, first due to Aramco’s initial public offer and then the pandemic.
RIL's shares rose as much as 0.4% to Rs 2,214.60, before erasing all the gains and falling as much as 0.12%. The stock has risen around 15% from its last AGM on July 15, 2020 compared with a more than 45% gain for the benchmark S&P BSE Sensex.