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Reliance Industries unveils O2C spinoff plan


Reliance Industries unveils O2C spinoff plan
Aramco may buy stake in new entity
Reliance Industries Ltd (RIL) expects to get all the necessary approvals to hive off its oil-to-chemicals (O2C) business into a separate unit by the second quarter of the next fiscal year, paving the way for the possible arrival of strategic and financial investors in the subsidiary.
RIL will spin off Reliance O2C into a wholly owned subsidiary, with the transfer of assets to O2C done on a slump-sale basis that makes the reorganisation tax neutral to Reliance.
The company will transfer $40 billion of long-term assets, $2bn of net working capital and $5bn of non-current liabilities to the O2C entity for a consideration of $25bn of a long-dated floating rate loan and $12 billion of equity. ....

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Reliance Industries | Carving out O2C operations to boost investors' wealth, help RIL raise external investment: Analysts


Updated Feb 24, 2021 | 10:04 IST
Moody s Investors Service said that RIL s proposed transfer of its O2C business to a separate subsidiary will help the company to monetise stake in the segment.
Carving out O2C operations to boost investors wealth, help RIL raise external investment: Analysts  |  Photo Credit: BCCL
New Delhi: Billionaire Mukesh Ambani-led Reliance Industries Limited (RIL), which has proposed separating its oil-to-chemicals (O2C) operations via a slump sale of assets into a separate unit with a $25 billion loan from the parent, on Tuesday said it had received the green signal from the Securities and Exchange Board of India (Sebi) and stock exchanges to create this independent subsidiary. ....

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Reliance To Spinoff Oil-To-Chemicals Unit With $25 Billion Loan


Feb 24 2021, 2:20 PM
February 23 2021, 8:26 AM
February 24 2021, 2:20 PM
(Bloomberg) Reliance Industries Ltd. has started carving out its new oil-to-chemicals operation into an independent unit with a $25 billion loan from the parent, as billionaire Mukesh Ambani steps up efforts to unlock the value of his businesses.
(Bloomberg) Reliance Industries Ltd. has started carving out its new oil-to-chemicals operation into an independent unit with a $25 billion loan from the parent, as billionaire Mukesh Ambani steps up efforts to unlock the value of his businesses.
The wholly owned unit’s assets will be funded by the interest-bearing loan, which will be an “efficient mechanism to upstream cash, including any potential capital receipts,” in the unit, according to a company presentation filed with the stock exchanges. ....

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