According to Reliance Industries Ltd (RIL) managing director Anil Ambani, the consolidation is expected to add 40 per cent to RIL's bottomline. "The consolidation will contribute Rs 10 to the EPS, and will, thus, add value to the shareholder," Mr Ambani added. The consolidation will reflect a return on equity of 28 per cent for RIL, Mr Ambani said.

The move, according to him, is aimed at unlocking shareholder value in addition to exploring various other options. Elaborating on the option, Mr Ambani said that even a 10 per cent dilution in stake of RIL in RPL will generate cash to the tune of $750 million to $1 billion.

Industry analysts speculate that the move to consolidate the financials of both the companies could be the first step towards a future possibility of a merger between the two companies.

In addition, the analysts also feel that the unlocking of RIL's shareholders value could be through a strategic sale of RPL's stake. Reliance Industries' current stake in RPL stands at 64 per cent.