Reliance Industries’ tech subsidiary Jio Platforms scored its third major investment in less than a month, lining up an INR113.7 billion ($1.5 billion) deal with US-based venture capital group Vista Equity Partners.
In a statement, Reliance Industries said the investment buys Vista Equity Partners a 2.32 per cent stake in the tech unit, making it the third-largest stakeholder behind itself and Facebook, respectively.
Jio Platforms operates broadband and online commerce services, including Reliance Jio, the largest mobile operator in India by subscribers.
Mukesh Ambani, Reliance Industries’ chairman and MD, said Vista Equity Partners shares its “vision of continuing to grow and transform the Indian digital ecosystem”.
Vista Equity Partners CEO Robert Smith added the company is “thrilled” to back Jio Platforms’ efforts to “deliver exponential growth in connectivity across India, providing modern consumer, small business and enterprise software to fuel the future of one of the world’s fastest growing digital economies”.
The move follows recent investments from Facebook, which acquired a 9.99 per cent holding, and private-equity company Silver Lake (just more than 1 per cent), and brings the total raised to nearly $8 billion in little over two weeks.
In its recent fiscal Q4 earnings report (covering the period to end-March), Reliance Industries said the outside investments would help it achieve its goal of zero net debt ahead of a target of end-March 2021, set by Ambani during the company’s AGM in August 2019.Subscribe to our daily newsletter Back