Reliance Capital posts profit of Rs 444 crore in Q1
The financial services firm under the debt resolution process had a net loss of Rs 491 crore in the corresponding quarter of 2022-23.
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MUMBAI: Debt-ridden Reliance Capital has reported coming back in black in the April-June quarter of 2023-24 with a consolidated net profit of Rs 444 crore for the period driven by the good performance of group companies.
The financial services firm under the debt resolution process had a net loss of Rs 491 crore in the corresponding quarter of 2022-23.
The company’s total income during April-June 2023 stood at Rs 6,001 crore against Rs 3,604 crore in the year-ago quarter, Reliance Capital said in a regulatory filing. Its total expenses rose to Rs 5,560 crore, from Rs 4,068 crore in the first quarter of the previous year.
The company has a presence in finance and investment business, general and life insurance, commercial finance and others. The Reserve Bank of India (RBI) on November 29, 2021, superseded the board of Reliance Capital in view of payment defaults and serious governance issues. The RBI appointed Nageswara Rao Y as the administrator in relation to the Corporate Insolvency Resolution Process (CIRP) of the firm.
Reliance Capital is the third large non-banking financial company (NBFC) against which the central bank has initiated bankruptcy proceedings under IBC. The other two were Srei Group NBFC and Dewan Housing Finance Corporation (DHFL).
The central bank subsequently filed an application for initiation of CIRP against the company at the Mumbai bench of NCLT.
Reliance Capital pumps Rs 200 cr into RGICL
Reliance General Insurance Company Ltd (RGICL) on Monday said it has raised a capital of Rs 200 crore by issuing equity shares to debt-ridden parent entity Reliance Capital.
Reliance Capital is under the resolution process as per the Insolvency and Bankruptcy Code. Infusion has been done following the lenders of Reliance Capital giving approval for the capital support to improve the solvency margin of the general insurance arm.
With this capital raise, RGICL is reinforcing its commitment to financial strength and readiness to capitalize on emerging opportunities in the insurance sector, the company said in a statement.
The shareholders of the company at its Extraordinary General Meeting held on July 29, 2023, have approved infusion of capital of about Rs 200 crore in the company, by way of the issue of equity shares on a private placement basis, it said.
This capital infusion is aimed at pursuing new business opportunities for growth, it added.
JioBook priced at 16,499
Reliance Retail’s new JioBook, a learning book, designed to cater to all age groups, will be available for sale from August 5, 2023. Priced at Rs 16,499, its advanced JioOS operating system, design and always-connected features, JioBook promises to redefine the learning experience for every individual. Whether attending online classes, learning to code, or exploring new ventures such as starting a yoga studio or delving into online trading, it provides a platform for all learning endeavours. “We are dedicated to introduce innovative products that empower individuals in their learning journey. The JioBook is our latest offering catering to learners of all ages,” said a spokesperson.
