Alok Industries

Reliance Industries Boosts Alok Industries: Shares Surge 20%

Alok Industries' stock skyrockets after RIL's massive investment, creating trading frenzy!

Alok Industries, a renowned textile manufacturer, experienced a remarkable 20% surge in its share price following a strategic investment by Reliance Industries. The infusion of ₹3300 crore by RIL through preferential shares at a 9% dividend rate resulted in a significant market uptick. This move solidified RIL's position as a promoter of Alok Industries, with 40.01% of the company's equity now in its grasp.

The investment announcement not only propelled Alok Industries' stock but also triggered intense trading activity, with a staggering 11 crore shares changing hands on the exchanges. RIL's acquisition of 9% non-convertible redeemable preference shares further reinforced the financial foundation of Alok Industries. The market responded with enthusiasm, pushing the stock to its highest level since May 2022, with trading locked in the upper circuit.

Alok Industries' ongoing success is evident as its stock continues to rally, with a consecutive advancement of 12% on the back of RIL's support. Over the past three trading sessions, the shares have surged by almost 36%, showcasing the positive impact of the recent collaboration. This upward momentum reflects the market's confidence in the combined strength of both companies.

In a surprising twist, the modest ₹25 stock of Alok Industries, backed by Mukesh Ambani, has become a center of attention, drawing comparisons to a rocket with its soaring performance. The coalescence of two industry giants has sparked curiosity and optimism among investors, hinting at promising prospects for the future of both companies.