Adani Total Gas, RIL shares in focus on report companies may set up biogas plants

Shares of Gautam-Adani led Adani Total Gas and Mukesh Ambani's Reliance Industries (Ltd) will be in focus on Friday morning after a media report, citing senior executives aware of the development, suggested the two companies were planning to set up 10 compressed biogas (CBG) plants each, across the country.

As per the Economic Times report, these plants would be of up to 30 tonnes per annum capacity. The report suggested that five plants would be set in the next five years while the rest would come up later. The companies would invest up to Rs 2,500 crore each in setting up these plants, the ET report suggested.

RIL did not respond to the ET email query while Adani Total Gas spokesperson in an emailed response said that the company plans to set up five CBG plants in the next five years at strategic locations. Currently, a plant with capacity of 600 tonnes per day is under construction in Uttar Pradesh and is expected to begin CBG production by this financial year-end, the report suggested.

Shares of RIL would also be in focus on Friday after the oil-to-telecom major said it would, along with Reliance Strategic Investments, take necessary steps, including fixing the record date for allotment and listing of equity shares of the latter on stock exchanges. The announcement came as National Company Law Tribunal (NCLT) gave its nod to the demerger of the company's financial services undertaking and its listing. To recall, RIL planned to demerge its financial services undertaking into Reliance Strategic Investments Limited (RSIL) and rename and list it as Jio Financial Services Limited (JFSL).

"We wish to inform you that the National Company Law Tribunal, Mumbai Bench (NCLT), vide its order dated June 28, 2023, has sanctioned the scheme," RIL said in a stock exchange filing.

In a brief note to exchanges, RIL said: "The company and Reliance Strategic Investments Limited will take necessary steps including fixing the record date for allotment and listing of equity shares of Reliance Strategic Investments Limited," it said.

Earlier this week, brokerage BofA Securities said that with the separation of financial services from the core business, RIL appears to be keeping arm's length transaction from other entities, that in theory is helping it to better attract strategic or JV partners who are keen only in financial services arm - like what it did with Reliance Jio or tower InvIT.

Also read: Reliance Industries shares trading at seven-month high; buy, sell or hold?  

Also read: IOC, Suzlon Energy shares in focus as boards consider fundraising today. Key details