Reliance Industries Closes India's Largest Rights Issue Worth $7 Billion

Oil-to-telecoms giant Reliance Industries on Wednesday closed a $7 billion rights issue, India's largest ever, luring buyers in with a rare deferred payment offer. Proceeds from the issue, also ranked as one of the world's biggest by a non-financial company based on Dealogic data, will aid Reliance's plan to slash net debt to zero this year.

The issue was subscribed about 1.6 times, in "a vote of confidence, by both domestic investors, foreign investors and small retail shareholders, in the intrinsic strength of the Indian economy", billionaire owner Mukesh Ambani said a statement late on Wednesday.

Reliance launched the issue last month, offering existing shareholders one new share for 15 held at a discounted price of Rs 1,257 apiece. Investors could pay only a quarter of the price upfront, and the rest in two installments until November 2021.