The Reliance Worldwide Corporation Ltd (ASX:RWC) share price just jumped 31%

The Reliance Worldwide Corporation Ltd (ASX: RWC) share price has shot higher today after the shares were released from a two-day trading halt this morning.

The shares reached a high of $5.99 shortly after the market opened, representing a gain of 31.4% compared to the previous closing price of $4.56. They have since retreated to $5.55 but are still trading 21.7% higher for the session.

Reliance’s share price was placed in a trading halt on Thursday before the market opened after the company announced a major acquisition, supported by a $1.1 billion capital raising (including a $945 million institutional component).

This morning, Reliance confirmed that it had successfully completed the institutional raise, generating $946 million at the offer price of $4.15 per new share. Existing eligible shareholders took up over 98% of the new shares available to them, while the shortfall bookbuild was significantly oversubscribed “with strong demand from both existing and new institutional investors”.

Retail investors will now have their chance to buy shares at the discounted price of $4.15, which marks a 25% discount to the current trading price of $5.55. Eligible shareholders can buy 1 new share for every 1.98 Reliance shares held on the record date.

Reliance Worldwide specialises in “behind the wall” plumbing and hot water systems, and owns the SharkBite brand. While SharkBite is a leader in brass ‘push-to-connect’ (PTC) fittings, Reliance acquired the UK-based John Guest brand, which is a leader in plastic PTC fittings, for $1.22 billion.

The Rocket Fuel of the AI Boom

One of the world’s richest people is sounding the alarm on what could be a trillion-dollar technology.

Everyone is talking about the artificial intelligence revolution.

Harvard Business Review calls it, “the most important general-purpose technology of our era.”

One Google Insider predicts AI, “will be as transformative as the discovery of electricity.” And it already is transforming industry after industry.

After all we have been hearing about AI for years…but it never really lived up to the hype…so what’s finally unlocked this huge tidal wave of innovation?

Click here to learn more!

Motley Fool contributor Ryan Newman has no position in any of the stocks mentioned. The Motley Fool Australia has no position in any of the stocks mentioned. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

5 ASX Stocks for Building Wealth After 50

I just read that Warren Buffett, the world’s best investor, made over 99% of his massive fortune after his 50th birthday.

It just goes to show you… it’s never too late to start securing your financial future.

And Motley Fool Chief Investment Advisor Scott Phillips just released a brand-new report that reveals five of our favourite ASX stocks for building wealth after 50.

– Each company boasts strong growth prospects over the next 3 to 5 years…

– Most importantly each pays a generous dividend, fully franked.

Simply click here to find out how you can claim your FREE copy of “5 ASX Stocks for Building Wealth After 50.”

See the stocks now