RIL can become 1st Indian firm to hit $200 billion m-cap in 24 months, says BofA-ML

Reliance IndustriesNSE 0.56 % in 24 months can become the first Indian company to reach $200 billion market cap on the back of its new commerce venture and fixed broadband business, Bank of America Merrill Lynch said on Wednesday.

In a report, the brokerage said the key drivers necessary for Reliance to breach $200 billion market cap in 24 months from current $122 billion market cap are new commerce initiative of empowering Kiranas in unorganised retail market by offering MPoS (mobile point-of-sale), entry into SME enterprise space with Microsoft, Jio’s fiber broadband business and digital initiatives like advertising.

“We think the market is giving little credit to these initiatives given limited visibility,” it said. “We expect near-term momentum to be strong.”