Stocks tank as Anil Ambani quits boards of group firms
- Reliance Power shares hit the lower circuit at Rs 12.35 down 4.9%
- Reliance Infrastructure shares fell 8.7% to Rs 99.65
- Rahul Sarin was appointed additional director for a term of five years on Friday
Reliance Power shares hit the lower circuit at Rs 12.35 down 4.9% while Reliance Infrastructure shares fell 8.7% to Rs 99.65 after the Reliance Group Chairman Anil Ambani on Friday resigned as director of the companies a Securities and Exchange Board of India (SEBI) order restraining him from associating with any listed company.
"Anil D Ambani, the non-executive director, steps down from the board of Reliance Power in compliance with the SEBI interim order," Reliance Power said in a BSE filing. In a separate filing to the stock exchange, Reliance Infrastructure said that Anil Ambani has stepped down from its board "in compliance with the SEBI interim order".
SEBI barred Reliance Home Finance, Anil Ambani, and three other persons from the securities market in February for allegedly malpractices. Ambani and three others were also barred from "associating themselves with any intermediary registered with SEBI, any listed public company, or acting directors/promoters of any public company intending to raise money from the public till further orders."
Rahul Sarin was appointed additional director in the capacity of independent director for a term of five years on the boards of Reliance Power and Reliance Infra on Friday, subject to the approval of members at the general meeting, according to the two Reliance Group companies.
Reliance Infrastructure (RInfra) reported a consolidated net loss of Rs 106.91 crore for the quarter ended December 31, 2021. The company had logged a net profit of Rs 80.08 crore in the year-ago period, RInfra said in a filing to the BSE. Total income from operations rose to Rs 4,281.45 crore compared to Rs 4,010.59 crore in the corresponding quarter of the previous fiscal year, it said. Total expenses during the quarter under review dropped to Rs 4,828 crore from Rs 4,950.69 crore.
Reliance Power reported a loss of Rs 13.93 crore for the December 2021 quarter, mainly due to lower revenues. The company had posted a consolidated net profit of Rs 52.29 crore for the quarter ended December 31, 2020, it said in a BSE filing. Total income dipped to Rs 1,858.93 crore in the quarter from Rs 2,006.66 crore in the same period a year ago.