India Reliance's stake sale talks with Aramco stall over valuation, sources says
By Nidhi Verma, Clara Denina and Saeed Azhar
NEW DELHI/LONDON/DUBAI, July 16 (Reuters) - Talks about selling a 20% stake in Reliance Industries Ltd's RELI.NS oil-to-chemical business to Saudi Aramco 2222.SE have stalled over the valuation, four sources familiar with the matter said, as the energy market has been hit by COVID-19.
Aramco wants India's Reliance to review its price for the oil-to-chemical business as the global valuation of oil assets has tumbled due to falling demand for crude, one source said.
A second source said Aramco wanted to "revisit" the valuation.
Reliance Chairman Mukesh Ambani told shareholders on Wednesday a deal had been delayed due to "unforeseen circumstances in the energy market and the COVID-19 situation".
(Editing by Edmund Blair)
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
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