Reliance goes public for the first time by announcing its IPO and raises Rs 2.8 crore (USD 3.28 million), thus ushering in the Equity Cult in India.
• Initial share price is Rs 10
• Issue oversubscribed seven times with 58,000 investors by the year end
• Receives approval for BSE listing of Reliance as Reliance Textile Industries Ltd.
Image Courtesy: Reliance Industries Limited.
The 1992 Reliance twin issues drew an overwhelming response. Long queues of investors could be seen waiting outside distribution centers and banks in Bombay.
Image Courtesy: Reliance Industries Limited.
Reliance shares were traded in the market as 'Dhirubhai'. Nobody was too small to invest in Reliance. Shri Dhirubhai Ambani would ask their domestic servants to buy Reliance shares for which he would lend them Rs 5,000 each and invest it in Reliance on their behalf. Eventually, he convinced close to 4 million Indians to invest their hard-earned money in Reliance. Here is a Reliance share priced at Rs. 10 in 1992.
Image Courtesy: Reliance Industries Limited.