Mumbai: Reliance Capital said it has received institutional and retail investors bid for over 260 per cent of the base offer size for the third offer for sale (OFS) announced on Monday to sell its 6.31 per cent shareholding in Reliance Nippon Life Asset Management (RNAM).
Reliance Capital has sold 17.06 per cent of its shareholding in RNAM, in three successive offers, aggregating over Rs 2,480 crore.
The entire RNAM stake monetisation proceeds of around Rs 6,000 crore to be received through stake sale via offer for sale and transaction with Nippon Life Insurance of Japan will be utilised to reduce Reliance Capital’s outstanding debt.
Based on the above, and other asset monetisation deals presently underway, Reliance Capital expects to reduce debt by at least Rs 12,000 crore (US$ 1.7 billion), or 70 per cent, in the current financial year.
JM Financial acted as selling brokers for the offer for sale.
Source: Economic Times