Reliance stocks gain lost ground

Mumbai, Nov 29 | Updated: Nov 30 2004, 05:30am hrs
Reliance group stocks bounced back on Monday from last weeks losses following absence of new development in the ongoing tussle between the Ambani brothers over ownership issues as well as anticipation of an early solution to the rift.

All the listed Reliance group stocks, except Indian Petrochemicals Corporation Ltd (IPCL), opened weak and were highly volatile on anticipation of new developments.

Among the five listed group companies, Reliance Industries ended 1.24% higher at Rs 509.80 on The Stock Exchange, Mumbai (BSE) while Reliance Energy rose 1.13% to Rs 555.3. Indian Petrochemical Corporation Ltd (IPCL) surged 2% to Rs 178.9, Reliance Capital climbed 0.73% to Rs 137.25 and Reliance Industrial Infrast-ructure jumped 1.91% to Rs 74.55. The Reliance group gained 1.3%, or Rs 1,089.6 crore, in market capitalisation to Rs 87,797.8 crore, from Rs 86,708.1 crore.

The rise in Reliance group stocks comes after a sharp fall in all the five stocks last week over a family row at Indias largest private corporate house. Last week, in a truncated four-session period, all the five stocks ended in the red with Reliance Energy declining 11.5% to Rs 549.10, Reliance Industries 7.7% to Rs 503.6, IPCL 4.9% to Rs 175.4 and Reliance Capital 1.1% to Rs 136.3.

On Monday, apart from IPCL that opened marginally higher by 0.37% at 176 on BSE, the other four group stocks opened with a loss of 1% to 4%. Reliance Industries, the groups flagship, opened weak and slipped below the Rs 500-mark to a low of Rs 487 in early trades. Fresh gains at lower levels, however, lifted the stock to a high of Rs 513. The stock closed at Rs 509.80, 1.2% higher than its previous close. Over 2.8 crore shares changed hands at the Reliance Industries counters on BSE and NSE. The combined turnover of Rs 1,414 crore in the company accounted for 19% of the total turnover of Rs 7,421.2 crore on the two exchanges. Reliance Energy also bounced back from an intra-day low of Rs 526 to a high of Rs 564.50 before settling at Rs 555.30, up 1.13% over its previous close. The companys board is meeting on Tuesday to consider the resignation of its six directors and related issues. Over 9.3 lakh Reliance Energy shares were traded on BSE on Monday.