Reliance Capital is looking at entering the banking space, the company Chairman, Mr Anil Ambani, said at its annual general meeting held here on Tuesday.
“Banking is a new growth opportunity. We will evaluate opportunities to enter this high-growth sector and are keeping track of all regulatory developments on this front,” he said.
Reliance Capital will also “focus on unlocking value across all its major businesses”. The company has already moved in the direction of “unlocking value” transactions.
Earlier this year, Reliance Life Insurance signed an agreement with Japan-based Nippon Life Insurance to sell 26 per cent of its stake to the latter.
According to an announcement dated September 14 on the company's Web site, Reliance Life Insurance has received in-principle approval from the Insurance Regulatory Authority of India (IRDA) for the stake sale. The final approval will be granted by IRDA on receipt of RBI approval.
“This is the largest FDI transaction in Indian financial services sector and the life insurance space. The company will benefit from Nippon's vast experience, expertise, intellectual capacity and global best practices in areas of product development, risk management, underwriting, and customer relationship management,” said Mr Ambani.
Reliance Capital has also signed a memorandum of understanding with Nippon Life for evaluating collaboration opportunities – including strategic partnership – across all Reliance Capital-promoted financial businesses earlier this month, said a statement from the company.
The company also said that it is looking to expand its asset management business into the emerging markets and grow its wealth management and private equity business.
Reliance Capital's stock gained 1.32 per cent to end Tuesday's trade at Rs 394.50 on the BSE.