Reliance Group raises Rs 1,400 cr by listing UK-based Codemasters

Mumbai, June 1 (IANS) Reliance Group on Friday said that it has raised Rs 1,400 crore by listing Codemasters, its UK-based gaming unit in the AIM market of the London Stock Exchange.

Commenting on the develoment, Anmol Ambani, Exeutive Director at Reliance Capital said: "I am delighted with the successful outcome of the Codemasters offering in the international markets. This is a classic example of value creation as my grandfather, Dhirubhai Ambani, taught us all, namely, generating extraordinary returns by deploying minimal amounts of capital."

According to Reliance Group, it has monetised approximatley 60 per cent stake in Codemasters, and will continue holding 29 per cent post this offering.

"Reliance has received net proceeds of Rs 1,400 crore from the offering, realising substantial capital gains and its residual 29 per cent stake in Codemasters is worth another Rs 1,000 crore at the current market prices," the Group said in a statement.

"The shares were offered at a price of 200 pence, and are now trading at a price of 260 pence, reflecting an immediate premium of 30 per cent to the IPO price."

The statement added that codemasters offering is a major step forward in the group strategy of unlocking value from media and entertainment investment, disposing off non-core investments, bringing down Reliance Capital's overall exosure to Reliance Entertainment and delevaring the Reliance Capital balance sheet.