Why to buy Reliance Capital now?

I am tracking Reliance Capital, since 2007. I love the way this stock went up to Rs. 2859. But during recession it touched Rs.273. Now the current closing price on 12th March’2010 is Rs.794. I am looking to buy this stock for long term(2-3 years) prospective. Some reasons, by which I think that this stock would go up are –
1-This is the flag ship stock of Anil Ambani Group
2-After recent proposal by the Finance Minister in the 2010-Budget that Govt. will open up banking sector for more pvt. banks. Would benefit RelCap; which already has plans to venture into retail banking.
3-RelCap is planning to list its life and general insurance business
4-Big plans for Big Cinemas and Big films (tie-up with Hollywood directors and stars)
5-Largest Mutual Fund Asset Management Company

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This is the flag ship stock of Anil Ambani Group

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I don’t think, this point would have any impact on the share price, other than adding a goodwill factor.

I agree with your points but to me it’s like a speculative stock. When it go up; it shoots up like a rocket (current 52 week high is Rs.1066) and same way it go down(52 week low is Rs.276).

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This is the flag ship stock of Anil Ambani Group

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People also say that the Anil Ambani leadership is not as good as his brother Mukesh. So I feel above first point, points out investment into negative direction.

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People also say that the Anil Ambani leadership is not as good as his brother Mukesh

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I won’t agree with you on this point. Mukesh got the business already set up, but Anil is trying to setup and making brand ‘Anil Ambani’ from the scratch. Give some time to him

If Anil is so "Good" than "What about the Reliance Power IPO?"

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Originally Posted by Aakash

If Anil is so "Good" than "What about the Reliance Power IPO?"

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Its start of the recession, nothing to do with Reliance Power IPO.

Keep your facts right. Market fell because it (Reliance Power IPO) sucked liquidity from the market.