Facebook deal to help Reliance Industries Limited
Facebook deal to help:
According to a report by Credit Suisse, Reliance Industries Ltd’s (RIL) with technology giant Facebook will help the Indian enterprise become net debt-free by March 2021.
Rs 43,574 crore Facebook’s Jio app investment is India’s highest FDI minority investment. As of 31 December 2019, the total net debt for the company was Rs 1,53,100 crore (Rs 1,531 billion), which should contribute to RIL being net debt-free by March 2021, according to the Facebook investment plan.
Meanwhile, Facebook stated on April 22nd investing Rs 43,574 crore (5.7 billion dollars) in Jio Platforms, for a 9.99% minority stake. This agreement reached following the restructuring announced in October 2019 when RIL transferred Rs 1,08,000 crore of debt from Jio to a single entity leaving Jio with Rs 64,000 crore liabilities.
Investment by Facebook in this organization would continue RIL’s digital initiatives, it added. Jio user base now grown to 388 million in the fourth quarter of FY20 implies a net increase of 18 million subscribers. Due to lower mobile number portability during the national lockdown, the additional improvements have been affected.
Stock Market April 22nd Update Sensex and Nifty
On the third day of the week, the stock market trading with the bullish trend. The Sensex traded with a gain of 577.05 points reached 31,213.76 level with 1.88% up. Whereas, Nifty traded with a gain of 150.75 points reached 9,132.20 level with 1.68% up.
Besides, in the border market, the S&P BSE Midcap traded with a loss of 22.42 points reached 11,499.48 with 0.20% down. Whereas, S&P BSE SmallCap traded with a gain of 38.56 points reached 10,603.41 with 0.36% up. At the same time, Nifty bank traded with a gain of 118.05 points reached 19,527.40 with 0.61% up.