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RIL shares gain on acquisition of remaining stake in IMG-Reliance JV

Updated : December 28, 2020 10:16 AM IST

IMG–R is engaged in the business of creation, management, implementation and commercialisation of sporting, fashion and entertainment events in India.

The share price of Reliance Industries gained in the early trade on Monday after the company announced the acquisition of IMG Worldwide’s 50 percent stake in the joint venture entity.

Reliance Industries has entered into definitive agreements to acquire the shares held by IMG Singapore Pte. Ltd in IMG-R for a cash consideration not exceeding Rs 52.08 crore.

The stock price of Reliance Industries gained as much as 1.55 percent to Rs 2,024.90 apiece on the BSE. At 10 am, the shares were trading 0.62 percent higher at Rs 2,006.20 as compared to a 0.58 percent gain in the benchmark Sensex.

IMG Reliance Limited (IMG-R) is a joint venture between IMG Worldwide LLC (IMG) and RIL. IMG Singapore Pte. Ltd., a wholly-owned subsidiary of IMG, holds 50 percent of the share capital of IMG-R.

IMG–R is engaged in the business of creation, management, implementation and commercialisation of sporting, fashion and entertainment events in India.

Post completion of acquisition, IMG-R will become a wholly-owned subsidiary of RIL and will be rebranded, the company said.

No governmental/regulatory approvals are required for the aforesaid acquisition and the acquisition is expected to be completed during this calendar year, it added.

IMG-R had a turnover of Rs 181.70 crore (including GST of Rs 25.79 crore), Rs 195.55 crore (including GST of Rs 28.95 crore) and Rs 158.26 crore (including GST of Rs 20.71 crore); and net profit of Rs 16.35 crore, Rs 19.25 crore and Rs 15.82 crore in FY20, FY19 and FY18, respectively.

(Disclosure: Network18, the parent company of CNBCTV18.com, is controlled by Independent Media Trust, of which Reliance Industries is the sole beneficiary.)

RIL shares gain on acquisition of remaining stake in IMG-Reliance JV

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