BENGALURU (Reuters) – Shares of Jio Financial Services rose as much as 5% on Tuesday, a day after the company entered into a new joint venture with BlackRock to set up a wealth management and broking business in India.
The stock was last up 3.5% at 366.65 rupees, while the broader market was down 0.7%. The stock has jumped 40% since it was spun out of billionaire Mukesh Ambani-led Reliance Group last year. It had fallen 4.8% on Monday.
Jio Financial and BlackRock’s their second joint venture aims to tap into India’s increasingly lucrative wealth business and on the growing tribe of retail investors as the country’s benchmark stock indices hovering near record highs.
The duo had launched an asset management venture last year.
While the Nifty 50 has gained 1.9% so far this year, Jio Financial has surged 52%, enroute to multiple record highs after falling 11% in 2023. The company is currently valued at around 2.33 trillion rupees (nearly $28 billion).
(This story has been corrected to fix the valuation to 2.33 trillion from 2.36 trillion in paragraph 5, and to clarify that the stock rose as much as 5% and that the JV is in India in paragraph 1) ($1 = 83.5270 Indian rupees)
(Reporting by Nandan Mandayam in Bengaluru; Editing by Varun H K)
