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Reliance Industries and three telecom companies – Bharti Airtel, Idea Cellular and Reliance Communication (RCom) – have collectively lost Rs 22,522 crore of market capitalization (m-cap) in single day after RIL chairman Mukesh Ambani at the 42nd annual general meeting announced the launch of Reliance Jio offering customers free domestic voice calls and zero national roaming charges. CLICK HERE TO READ FULL REPORT.
Reliance Jio's aggressive pricing could force other telecom firms to cut voice and data tariffs. The price war may strain finances of most telecom operators, who are already laden with high debt.
Among telecom stocks, Bharti Airtel, the largest loser in terms of m-cap, lost Rs 8,455 crore m-cap at Rs 124,199 crore, the BSE data shows. Idea Cellular lost Rs 3,528 crore at Rs 30,140 crore, and RCom eroded Rs 1,182 crore at Rs 12,333 crore.
In percentage terms, Idea Cellular, the biggest loser, ended 10.5% lower at Rs 83.70, its lowest level since October 29, 2012. RCom was down 9% at Rs 49.15, and Bharti Airtel by 6.4% to Rs 311.
Reliance Industries, too, ended 2.7% lower at Rs 1,029, after hitting intra-day high of Rs 1,073 on the BSE. The company m-cap stood at Rs 333,764 crore, lost Rs 9,357 crore m-cap on Thursday. The S&P BSE Sensex was down marginally 0.10% at 28,423.
Reliance Jio's aggressive pricing could force other telecom firms to cut voice and data tariffs. The price war may strain finances of most telecom operators, who are already laden with high debt.
Among telecom stocks, Bharti Airtel, the largest loser in terms of m-cap, lost Rs 8,455 crore m-cap at Rs 124,199 crore, the BSE data shows. Idea Cellular lost Rs 3,528 crore at Rs 30,140 crore, and RCom eroded Rs 1,182 crore at Rs 12,333 crore.
In percentage terms, Idea Cellular, the biggest loser, ended 10.5% lower at Rs 83.70, its lowest level since October 29, 2012. RCom was down 9% at Rs 49.15, and Bharti Airtel by 6.4% to Rs 311.
Reliance Industries, too, ended 2.7% lower at Rs 1,029, after hitting intra-day high of Rs 1,073 on the BSE. The company m-cap stood at Rs 333,764 crore, lost Rs 9,357 crore m-cap on Thursday. The S&P BSE Sensex was down marginally 0.10% at 28,423.
| Company | M-cap (Rs crore) | Price in Rs | ||
| 01/09/2016 | Change* | 01/09/2016 | % chg* | |
| Bharti Airtel | 124,199 | -8,455 | 310.70 | -6.37 |
| Idea Cellular | 30,140 | -3,529 | 83.70 | -10.48 |
| RCom | 12,233 | -1,183 | 49.15 | -8.81 |
| Reliance Inds | 333,764 | -9,357 | 1029.15 | -2.73 |
| *Change over August 31, 2016 | ||||
