Jio Platforms funding reaches $13.7B - Mobile World Live

Jio Platforms funding reaches $13.7B

15 JUN 2020

Reliance Industries continued a fundraising streak for its digital subsidiary, lining up additional funding from two investment companies which would take the total raised to $13.7 billion in less than two months.

Global alternative asset company TPG Capital will invest INR45.5 billion ($598.7 million) for a 0.93 per cent stake, while private equity company L Catterton INR18.95 billion for 0.39 per cent.

Since late April, Reliance Industries sold 22.39 per cent of the subsidiary to ten companies, including Facebook, which kicked-off the investment run by acquiring a 9.99 per cent stake for INR435.7 billion.

The India conglomerate said its digital unit has a valuation of $68.3 billion.

Neil Shah, a partner at Counterpoint Research, tweeted Jio Platforms is targeting the sale of a 25 per cent stake in the subsidiary, meaning there could be another $1.7 billion to come.

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In a statement, TPG Capital co-CEO Jim Coulter said: “We are excited to play an early role in Jio’s journey as it continues to transform and advance India’s digital economy.”

Coulter said Jio Platforms is a disruptive industry leader which is empowering small businesses and consumers across India by providing them with critical, high-quality digital services. It brings unmatched potential and execution capabilities to the market, “setting the tone for all technology companies to come”.

In a separate statement, Michael Chu, global co-CEO of L Catterton, said it is a strong supporter of fostering growth through product development, enhanced digital capabilities and strategic alliances. Jio Platforms is “uniquely positioned to execute on its vision and mission” to build a digital society.

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Joseph Waring

Joseph Waring joins Mobile World Live as the Asia editor for its new Asia channel. Before joining the GSMA, Joseph was group editor for Telecom Asia for more than ten years. In addition to writing features, news and blogs, he...

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