Mukesh Ambani-owned Jio Financial Services has submitted an application to the Reserve Bank of India (RBI) for the conversion of the firm to a Core Investment Company (CIC) from a Non-Banking Financial Company (NBFC).
Jio Financial has applied for the company’s conversion to CIC as mandated by the banking watchdog, the company informed exchanges late on Tuesday.
The regulator had mandated the company to undertake the conversion exercise while giving its approval for change in the shareholding pattern and control of the company pursuant to the demerger of the financial services business from Reliance Industries Limited (RIL).
The stock ended at Rs 219.85 on the NSE on Tuesday and was up by Rs 4.35 or 2.02% over the previous closing price
Jio Financial made its official debut on the bourses on August 21.
In the initial days after listing, the stock was reeling under the selling pressure from passive funds, who had to adjust their portfolios prior to the removal of the stock from benchmarks Nifty50 and Sensex.
Following the demerger of the financial services business of RIL, Jio Financial was temporarily included in key indices of NSE and BSE on July 21. The inclusion took place by conducting a special pre-open session in RIL to derive the price of Jio Financial.
Jio Financial Services reported that its consolidated net profit for the quarter ended September 2023 doubled sequentially to Rs 668.18 crore, on the back of a strong topline growth.
Total revenue from operations increased 47% from the June quarter to Rs 608.04 crore.
Interest income for the September quarter was Rs 186 crore, compared to Rs 202 crore a quarter ago. Dividend income was Rs 217 crore for the quarter under review, against nil in the June quarter.
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