Mukesh Ambani Backed Largest Conglomerate of India Acquires 100 Per Cent Stake In KGTL for Green Hydrogen Manufacturing; Stock Hits 4-Month High on Q4FY25 Result Day
On Friday's trade, the stock hit its 4-month high of Rs 1,325.25. In the last month, the stock has jumped by 0.37 per cent while on a year-to-date basis it has gained 6.66 per cent.
Reliance Industries Limited has announced the acquisition of 100 per cent equity stake of Kandla GHA Transmission Limited (KGTL) from PFC Consulting Limited (PFCCL). The aggregate consideration for this acquisition will not exceed Rs. 20 crore. This acquisition is in accordance with the terms of the tender awarded to Reliance Industries for the establishment of Turnkey Construction of 765/400kV GIS Substation at Kandla, including Transformers and Reactors, 765kv Transmission lines between Halvad and Kandla, 765kv Bay extension at Halvad and STATCOM.
Upon completion of the acquisition, KGTL will become a wholly owned subsidiary of Reliance Industries. KGTL was incorporated in India on November 27, 2024, and is yet to commence commercial operations. This investment will enable Reliance Industries to execute the Independent Transmission Project (ITP) "Transmission System for Supply of Power to Green Hydrogen/Ammonia manufacturing potential in Kandla area of Gujarat (Phase- 3 GW)".
Reliance Industries does not require any governmental or regulatory approval for the acquisition. The transaction is expected to be completed by the end of June 2025.
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In the Quarterly Results of March 2025, the company reported a revenue of Rs 2,61,388 crore, reflecting a YoY growth of 10.51 per cent compared to Rs 2,36,533 crore in March 2024. The operating profit stood at Rs 43,832 crore, marking a 3.10 per cent increase from Rs 42,516 crore in the same quarter last year. The profit after tax (PAT) increased by 2.41 per cent to Rs 19,407 crore from Rs 18,951 crore in March 2024.
In FY24, the company posted a revenue of Rs 9,64,693 crore, registering a 7.30 per cent growth compared to Rs 8,99,041 crore in FY24. The net profit for the year stood at Rs 69,648 crore, up 0.04 per cent from Rs 69,621 crore in the previous financial year.
Reliance Industries Limited is a major conglomerate in India, with diverse business interests spanning petrochemicals, refining, oil and gas, retail, telecommunications, and textiles. The company plays a significant role in India's economy and is known for its large-scale projects and investments across various sectors. On Friday's trade, the stock hit its 4-month high of Rs 1,325.25. In the last month, the stock has jumped by 0.37 per cent while on a year-to-date basis it has gained 6.66 per cent. Reliance Industries' share price was seen buzzing ahead of its Q4FY25 financial results.
Investors should keep eye on this Large-Cap stock.
Disclaimer: The article is for informational purposes only and not investment advice.