The 41st annual general meeting of Reliance Industries (RIL) yet again caught the imagination of stock market traders who are anticipating another round of tariff war, this time in the cable TV segment.
On Thursday, selling pressure in Hathway Cable, Siti, Den Networks and Sun TV was high as RIL Chairman Mukesh Ambani announced that they had launched ultra high speed fixed line broadband services for homes and enterprises under the brand ‘JioGigaFibre’.
Shares of cable TV operators were down in the range of 2.7 to 15 per cent post the announcement.
“RIL is ruthlessly aggressive and the experience of Jio phone network is proof that fibre TV network too could give a run to other players for their money. Share price of cable TV companies including DTH players may remain under pressure for months to come. See what has happened to the share price of Idea and Bharti from a couple of years ago. You will know the fate of cable TV company shares’ prices in the months to come,” said a Managing Director of a Mumbai-based brokerage and research house.
Siti Network was down 2.76 per cent, Hathway fell 15.4 per cent, Den 10.7 per cent and SunTV was down 2.76 per cent.