Reliance Infrastructure shares rallied 5% on Monday, hitting the upper circuit for the sixth consecutive session after the company sought a review of insolvency-related trading restrictions. According to reports from Business Standard, the stock opened higher at ₹84.99 and touched its upper price limit of ₹85.85 on the National Stock Exchange of India (NSE). Trading in the counter was halted after the stock locked at the circuit, reflecting strong investor interest in the stock.
As reported by Business Standard, Reliance Infrastructure has been on an upward trajectory for the past six sessions, surging 33% during this period. However, the stock has significantly underperformed the broader market in 2026, falling 45% compared with a decline of 11.3% in the Nifty 50 index. Over the past year, the company's underperformance has been severe, with the stock plummeting 77% while the Nifty index has skidded 7.3%. The company has been subject to Additional Surveillance Measure (ASM) linked to Insolvency and Bankruptcy Code (IBC) and related trading restrictions.
Reliance Power and Reliance Infrastructure have moved the Securities Appellate Tribunal (SAT), challenging the Securities and Exchange Board of India's (Sebi's) refusal to grant them relief from restrictions linked to group chairman Anil Ambani, as reported by Business Standard. The companies have sought an exemption under Regulation 300 of the ICDR Regulations to proceed with proposed rights issues and other capital-raising plans. The matter stems from Sebi's order in the Reliance Home Finance case, under which Ambani faces restrictions that affect the group's ability to access the capital markets. The companies first approached Sebi in May 2025 seeking an exemption, which was rejected in August 2025. Although SAT remanded the matter to Sebi for reconsideration in March 2026, the regulator again turned down the applications in May 2026.
According to Business Standard, Reliance Infrastructure has submitted a formal representation to the Sebi and BSE, seeking a review of the ASM linked to Insolvency and Bankruptcy Code (IBC) and the related trading restrictions. The company cited adverse impact on more than 7 lakh public shareholders, stating that the current framework permits trading only once a week within a narrow 5% price band, resulting in price movements that are largely mechanical and predictable. The company believes such restrictions may not adequately reflect prevailing business fundamentals, operational performance or long-term value creation potential.
