Anil: Thick & fast

Mumbai, Dec. 28: The Anil Dhirubhai Ambani Enterprises group is moving swiftly to deal with post-demerger issues arising from the carve-up of the Rs 100,000-crore Reliance empire.

The younger brother’s group today announced its intention to merge two of the newly created entities from the RIL demerger, Reliance Capital Ventures (RCVL) and Reliance Energy Ventures (REVL) with Reliance Capital (RCL) and Reliance Energy (REL), respectively.

Both RCL and REL today informed stock exchanges that their boards will meet on January 2 and 3 to consider the merger of RCVL and REVL, respectively, with them.

Their announcements have led to the speculation that shareholders of RIL will get shares of both REL and RCL sooner than expected and that both RCVL and REVL are not likely to be listed on the exchanges.

Early this week, the Anil Ambani group had announced that the four entities formed out of the demerger of RIL would be listed on stock exchanges by March next year. The group had added that it was considering applying to the Securities and Exchange Board of India (Sebi) and stock exchanges to list the shares of four companies on the bourses without making a public offer.

According to the settlement reached between the two Ambani brothers, four entities will be demerged from RIL based on telecommunications, coal-based energy, financial services and gas-based energy businesses.

Among them, REVL is the holding company for Reliance Industries’s shareholding in REL and RCVL is the holding company for its shareholding in RCL.

The other two include Global Fuel Management Services and Reliance Communication Ventures. The latter is the holding company for all telecom investments of RIL.

While RIL shareholders will get shares in each of the four entities, they will be entitled to seven shares of REL and five shares of RCL after RCVL and REVL are merged with these companies.

Earlier this month, RIL had obtained the nod of Bombay High Court for the demerger scheme. The company later announced that the scheme has become effective on December 21 when it filed the certified copy of the Bombay High Court order with the Registrar of Companies (RoC).

On the BSE today, shares of Reliance Capital ended lower by 1 per cent at Rs 435.75, while that of Reliance Energy declined 0.92 per cent to close at Rs 595.65.