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Reliance Industries gains

Shares in Sensex heavyweight Reliance Industries rose over 2 percent in trade on news that was in talks with U.S.-based Chesapeake Energy to buy a stake in Eagle Ford shale gas project.

Reliance Industries closed 2.5 percent higher at 1026 rupees, having led the gainers list on the Sensex which ended at a fresh 32-month high at 19594.

The stock has had a disappointing run so far this year with a negative return of over 5 percent.

Do you think shares in Reliance Industries will pick up steam and cross the 1200-rupees mark this year?

Reliance Ind slips on EIH stake buy

Shares in Reliance Industries closed 3 percent lower on Tuesday, a day after the company pushed ahead with its diversification plan by acquiring a stake in hotel chain EIH for $217.5 million.

Reliance is already active in petrochemicals, refining, oil and gas, and retail.

Analysts said the deal was likely to thwart designs of EIH’s larger rival ITC, which holds a 14.98 percent stake in EIH, to raise its stake in the hotel chain.

Reliance shares ended lower at 918 rupees, while EIH, which opened 9 percent higher, pared most of its gains and ended 7.1 percent lower at 139 rupees with volumes of 9.1 million shares.

Do you think Reliance’s foray into hospitality is a good move?

Reliance Industries shares gain more than 1 pct

Shares in Reliance Industries, India’s top listed firm, gained 1.1 percent on Tuesday, helping the benchmark index close marginally up.

The stock, which has the highest weight on the main index, closed at 1,026 rupees.

The oil secretary has said that Reliance Industries will be able to pump natural gas at full capacity from its deep-sea field during the year to March 2013, indicating a delay of almost two years. The stock too has been weak off late, and has fallen 5.5 percent since July.

BP Plc is in talks with Reliance Industries to sell its African retail assets that could be worth as much as $500 million, four sources told Reuters last week.

Do you think it’s a good time to invest in this stock?

Reliance Natural up on revised gas pact

Shares in Reliance Natural hit an intra-day high of over 6 percent on Friday after chairman Anil Ambani signed a revised gas supply agreement with brother Mukesh’s Reliance Industries.

The counter, which had opened lower, trimmed gains made after the announcement and closed 3.2 percent up at 65.95 rupees. Shares in Reliance Industries closed 1.1 percent higher.

Reliance Natural was the most traded main stock on the BSE. About 26.9 million shares changed hands, more than double their average volume for 30 days.

The new pact, according to sources, entails 28 mmscmd gas supply for 17 years at $4.2/mmbtu.

Do you think the revised pact will help Reliance Natural attain new highs?

Shares in Ambani-owned firms rally

Shares in companies controlled by the billionaire Ambani brothers were among the big gainers on Monday after the two moved towards resolving a long-running strife.

The BSE Sensex ended 0.15 pct higher led by Reliance Industries which gained 2.5 percent at 1021 rupees.

Shares in Anil Ambani controlled firms like Reliance Communications and Reliance Infrastructure closed up 10.8 percent and 6 percent respectively.

The Ambanis took a step towards reconciliation in their long-running feud on Sunday, ending non-compete agreements in a move they hoped would lead to cooperation between the two groups.

The BSE Oil & Gas Index ended 1.6 percent higher. Reliance Natural closed with gains of over 22.5 percent at 54.55 rupees with volumes of over 24 million shares.

Do you think the reconciliation move by the Ambani brothers will continue to bode well for their companies’ shares?

Reliance Industries gains

Shares in Reliance Industries ended 2 percent higher on Thursday at 1075 rupees on reports that it would buy along with Atlas more Marcellus acreage.

Independent oil and gas company Atlas Energy Inc said it would buy 42,344 acres in the gas-rich Marcellus shale along with Reliance, weeks after the two announced a joint venture.

Reliance, valued at $78 billion, is expected to post a second straight increase in quarterly profit, lifted by higher gas output.

For the year, the stock has given a negative return of 1.2 percent, while the BSE Oil & Gas Index has dropped over 4 percent in the same period.

The company has already invested in its own projects and is also looking for overseas opportunities.

Do you think it is the right time to invest in this counter?

from India Insight:

Third time’s the charm for Mukesh Ambani

(UPDATE: Reliance Industries has gained an overseas foothold by agreeing to pay $1.7 billion to form a joint venture with U.S.-based Atlas Energy. India's largest-listed firm will pick up a 40 percent stake in Atlas's operations in the booming Marcellus Shale)

The ruthless efficiency and smooth execution that marked Reliance Industries' development of the world’s largest refining complex in western India and its vast gas fields off the country's east coast has eluded the top-listed Indian firm during its recent attempts at overseas takeovers.

Nevertheless, Mukesh Ambani, the world’s fourth-wealthiest man and the chairman of Reliance, is known for his doggedness and is unlikely to backpedal on his overseas ambitions after being rebuffed by two overseas firms -- bankrupt petrochemicals maker LyondellBasell and oil sands firm Value Creation.

A source tells us that Ambani now has his eyes set on the booming Marcellus Shale in the eastern United States, and wants to form a joint venture with Atlas Energy to develop the independent U.S. oil and gas firm’s operations in the gas project.

A deal could bring in more than $1 billion for Atlas, which will be a much smaller price than what Reliance was willing to pay for LyondellBasell, which was valued at about $14.5 billion by the Indian firm’s final offer. Lyondell rejected it saying the price was not high enough.

Analysts thought the exact opposite. They worried Reliance was overpaying for Lyondell, and were flummoxed about what synergies the company hoped to achieve by buying a bankrupt petrochemicals maker. In fact, investors in Reliance heaved a sigh of relief when the deal was called off.

Ambani seemed to have won even in defeat.

Reliance Industries gains

Shares in Sensex heavyweight Reliance Industries rose over 3 percent in intra-day trade and closed 3.8 percent higher at 1,066 rupees.

The broader market ended 1.2 percent higher at 17,383 with Reliance Industries and L&T leading the gainers.

Energy major Reliance Industries is out of the race for Value Creation after the Canadian firm sold a majority stake in an oil sands property to BP Plc, a source with direct knowledge told Reuters.

With Reliance Industries dropping over 2 percent this year, do you see yourself investing in the counter now?

BSE Oil & Gas Index rises

The BSE Oil & Gas index rose for the third consecutive day and ended 2.2 percent higher while the broader market closed 1.3 percent up.

The rise in the index was led by Reliance Industries, GAIL, Aban offshore and Cairn India.

Shares in Reliance Industries were boosted on Wednesday as investor fears the energy major would overpay for LyondellBasell were allayed after the petrochemicals firm was said to have rejected its offer.

Shares in the counter ended 3.9 percent higher at 1,021 rupees.

The sectoral index has dropped over six percent this year. Reliance Industries and GAIL dropped over 6 percent and 3 percent respectively in the same period.

Would you like to invest in the sector now?

Reliance Industries drops

The BSE Sensex fell 0.6 percent at 16,327 led by losses in Reliance Industries, Sterlite Industries and ITC.

Shares in Reliance Industries ended 3.3 percent lower at 997 rupees with a volume of 1.1 million shares.

Reliance Industries fell on speculation that it may have to hike its bid for U.S.-based LyondellBasell or abandon it all together after the target settled a dispute with creditors that paved the way for an exit from bankruptcy.

So far this year, the counter has given a net negative return of over 8 percent. Do you think this is the right time to invest in the counter?