Mumbai: Reliance Group Chairman Anil Ambani said on Tuesday that the promoters of Reliance Power and Reliance Infrastructure have decided to increase their stake in related companies.
Last week, the stock market regulator Securities and Exchange Board of India (SEBI) allowed promoters to increase their stake to 10 per cent through a preferential allotment. The move is aimed at boosting investor confidence as promoters buying more shares is a good sign for shareholders.
The promoters had 14.7 per cent stake in RIFRA and 19.29 per cent in RPower as of March 2020. Ambani told shareholders of the two companies during separate annual meetings that promoters would periodically increase their stake in the company as per regulatory guidelines. However, he did not elaborate on the promoters’ plans to increase their stake.
