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.
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.Subscribe to our daily newsletter Back