Reliance Industries Ltd (RIL) informed the stock exchanges that its step-down subsidiary, Reliance Enterprise Intelligence Ltd (REIL), has allotted 85,31,75,000 equity shares of face value ₹10 each at par.
The shares were allotted to Reliance Intelligence Ltd, a wholly owned subsidiary of RIL, and Facebook Overseas, Inc., which is a wholly owned subsidiary of Meta Platforms, Inc..
Shareholding Details:
Out of the total allotment:
- 59,66,22,500 equity shares worth ₹596.6 crore were allotted to Reliance Intelligence Ltd.
- 25,65,52,500 equity shares worth ₹256.6 crore were allotted to Facebook Overseas, Inc.
- Following the allotment, Reliance Intelligence now holds a 70% stake in REIL, while Facebook holds the remaining 30%.
Change in Subsidiary Status:
As a result of the transaction, REIL has ceased to be a step-down wholly owned subsidiary of RIL. It will now function as a step-down subsidiary, reflecting the new shareholding structure.
Regulatory and Compliance Aspects:
RIL clarified in its filing that all necessary approvals for the investment have been obtained.
The company further stated that:
- The transaction between REIL and Facebook is not classified as a related party transaction.
- The transaction between REIL and Reliance Intelligence qualifies as a related party transaction but has been conducted on an arm’s length basis.
- None of the company’s promoters, promoter group entities, or group companies have any interest in the transaction.