InvestorQ : Is it confirmed that RIL is selling its stake in Asian Paints and what does that mean for the two stocks?
Rashi Mehra made post

Is it confirmed that RIL is selling its stake in Asian Paints and what does that mean for the two stocks?

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sarah Leo answered.
8 months ago
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Firstly, this is not yet confirmed and it is only been reported in the press. RIL has denied any such plans. It has been reported that Reliance Industries may look to sell its 4.9% stake in Asian Paints worth $989 million in open market. Currently, RIL holds this stake via Teesta Retail, a group company of RIL. While the official spokespersons of RIL have denied any such plans, the markets are expecting that RIL may look to monetize this stake at the current valuations to give a boost to its war chest. At a broader level, RIL may look to hive many of its non-core investments to raise cash to reduce its net debt to zero levels. RIL currently has net debt of Rs.160,000 crore and it plans to become zero debt by March 2021. With Jio being consistently monetized, these non-core selling could add to the liquidity.

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