RIL’S JOURNEY TO ~11 TRILLION
Mukesh Ambani-led Reliance Industries has become the first domestic company to top ~11 trillion in market capitalisation (m-cap). Shares of the oil-to-telecom behemoth soared 6.2 per cent –most in two months—on Friday as investors cheered the company’s announcement that it has become net-debt free.
At closing price of ~1,760, RIL is valued at ~11.15 trillion. If one adds value of partly paid shares of ~67,500 crore, the company’s m-cap adds up to almost ~11.83 trillion. In dollar terms, RIL’S m-cap translates into $155 billion, making it the 54th largest company globally.
Shares of RIL have more than doubled from this year’s low of ~868 in March underpinned by stream of investments in its arm Jio Platforms. Also, the successful conclusion of ~53,124-crore rights issue— India’s biggest ever—has further buoyed sentiment towards the stock.
RIL first hit ~1 trillion in market cap in August 2005. It took the company 12 years to reach ~5 trillion in market cap in July 2017. Since them, the stock has seen a huge surge thanks to successful foray into the telecom space.
Currently, RIL is the most valued firm followed by Tata Consultancy Services (TCS), which is valued at ~7.7 trillion. Also, RIL’S share in India’s total market cap is at a record level. Currently, the company accounts for nearly 9 per cent of the country’s total m-cap of ~138 trillion.
Three years ago, its share in the total m-cap was less than 4 per cent.