Mukesh’s Reliance springs rights issue surprise

Mukesh Ambani-owned Reliance Industries sprang a big surprise on coronavirus crisis-wracked markets and investors by announcing plans for a rights issue of shares that has the potential to turn into one of the largest capital issues of all time.

The refinery-to-retail and telecom giant, which reported a consolidated turnover of Rs 6.2 lakh crore in the year ended March last year, has said its board of directors will consider its first rights issue in almost 30 years when it meets on Thursday.

The move is part of an effort to slash the massive debt of over Rs 3 lakh crore on its books as of December 31 last year.