The shares of Jio Financial Services Ltd experienced a robust surge of nearly 7 percent on Monday, propelling them to a fresh all-time high.
The stock witnessed a remarkable surge of 6.83 percent, concluding the day at Rs 351, showcasing an impressive increase of 71.51 percent from its lowest value recorded in the past year, which stood at Rs 204.65 on October 23.
According to the most recent update, the shares were trading at Rs 356.20, marking a substantial uptick of 6.68 percent.
The upswing in share price observed today is attributed to reports suggesting that Jio Payments is contemplating entering the soundbox segment, akin to the Paytm Soundbox frequently utilized in retail establishments.
Furthermore, Jio Financial disclosed that its subsidiary, Reliance Industrial Investments and Holdings Ltd (RIIHL), divested its entire equity stake in Jio Infrastructure Management Services Ltd (JIMSL) to Reliance Strategic Business Ventures Ltd (RSBVL) for Rs 92 lakh in cash.
RSBVL, a subsidiary of Reliance Industries Ltd (RIL), is engaged in trading goods and holding strategic interests in various businesses. Conversely, JIMSL specializes in providing project management services, recording a turnover of Rs 4 crore during FY 2022-23 and boasting a net worth of Rs 1.23 crore as of March 31, 2023.
This transaction marks the cessation of JIMSL's status as a subsidiary of Jio Financial. The company clarified that the transaction was conducted at arm's length and was not influenced by the promoters or promoter group.
"The transaction is a related party transaction and is on an arm's length basis. The promoter and promoter group are not interested in the above transaction," Jio Financial stated.
Earlier this month, Jio Financial refuted any involvement in negotiations to acquire Paytm wallet, dismissing such reports as speculative. The company affirmed that it had not engaged in any discussions concerning this matter.
On the Bombay Stock Exchange (BSE), approximately 35.02 lakh shares were traded today, which was lower than the two-week average volume of 51.86 lakh shares. The total turnover amounted to Rs 121.05 crore, with a market capitalization (m-cap) of Rs 2,20,268.36 crore.
