Jio Financial Services (JFSL), the Reliance group company, has submitted an application to the Reserve Bank of India (RBI) to convert into a core investment company (CIC) from an NBFC.

“As mandated by the RBI (while granting its approval for change in the shareholding pattern and control of the company pursuant to the demerger of the financial services business from Reliance Industries Ltd (RIL) into the company, the company has submitted the application for conversion of the company from NBFC to CIC’’, Jio Financial Services said.

CICs are specialised NBFCs which invest in equity shares, preference shares, or other instruments in group companies to own a stake instead of engaging in any other financial activity.

These companies also do not trade in their shares unless it is for divestment or dilution. They can grant loans to group companies or provide guarantees.

The company has announced plans to venture into various financial services through separate companies.