Shares of Jio Financial Services, the demerged financial services unit of Reliance Industries, fell 5 per cent to hit the lower circuit limit for the second straight session on Tuesday.
The stock declined 4.99 per cent to Rs 239.20 -- its lower circuit limit -- on the BSE.
On the NSE, it fell by 5 per cent to hit its lower circuit limit of Rs 236.45.
The company commanded a market valuation of Rs 1,51,970.56 crore.
Shares of Jio Financial Services listed on the bourses on Monday, with the stock falling nearly 5 per cent to hit the lower circuit limit.
Jio Financial Services Ltd (JFSL) demerged from Reliance last month.
In a special price discovery session held on the record date last month, the stock's pre-listing price came out to be Rs 261.85.
The scrip will be in the Trade-for-Trade segment for 10 trading days, BSE had said in a notice.
With the company's listing, the BSE Sensex and the NSE Nifty added Jio Financial Services to their pack. This has been done to ensure price stability and limit volatility in shares of RIL in view of the demerger as part of the revised methodology of the exchanges to treat demergers.
The BSE Sensex has Jio Financial as the 31st firm and the Nifty has the company as its 51st stock.
Asia Index Private Limited had announced that effective prior to the opening of trading on Thursday, August 24, 2023, Jio Financial Services Ltd (JFSL) will be removed from all the S&P BSE indices following its listing on Monday, August 21, 2023, due to its spin-off from its parent, Reliance Industries.
Since the stock has hit a lower circuit limit for two consecutive days i.e., Monday and Tuesday, the index committee has determined to postpone the removal of JFSL from all the S&P BSE indices by another three days, Asia Index Private Limited, a 50-50 partnership between S&P Dow Jones Indices LLC and BSE Ltd, said in a notice to BSE on Tuesday.
JFSL will now be removed from all the S&P BSE indices effective prior to the opening of trading on Tuesday, August 29, 2023, it announced.
"Should JFSL continue to hit lower circuit on the next two days, the removal date will be deferred by another three days," the notice added.
It further said that should JFSL not hit the lower circuit limit on either of the next two days, but hit the lower circuit limit on the third day, the removal of JFSL from all the S&P BSE indices will be deferred by another three days.
Reliance Industries demerged its financial services undertaking into RSIL (Reliance Strategic Investments Ltd), which was renamed as JFSL. Shareholders got one JFSL share for each Reliance share they held.
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