It’s raining money for Jio Platforms, the Indian telecom arm of Reliance Industries Limited. Within a few hours of investment from Abu Dhabi-based sovereign investor Mubadala Investment Company, yet another leading global investor made a pitch for Jio. A wholly-owned subsidiary of the Abu Dhabi Investment Authority or ADIA has invested Rs 5,683.50 crore in Jio Platforms.
This investment values Jio Platforms at an equity value of Rs 4.91 lakh crore and an enterprise value of Rs 5.16 lakh crore. With this investment, ADIA owns around 1.16 per cent equity stake in Jio Platforms.
Within seven weeks, Jio Platforms has accumulated investment worth Rs 97,885.65 crore from seven leading global investors. This includes Facebook, Silver Lake, Vista Equity Partners, General Atlantic, KKR, Mubadala and ADIA.
ADIA which is established in 1976 is a globally-diversified investment institution. It invests funds on behalf of the Government of Abu Dhabi.
“Jio Platforms is at the forefront of India’s digital revolution, poised to benefit from major socioeconomic developments and the transformative effects of technology on the way people live and work. The rapid growth of the business, which has established itself as a market leader in just four years, has been built on a strong track record of strategic execution. Our investment in Jio is a further demonstration of ADIA’s ability to draw on deep regional and sector expertise to invest globally in market-leading companies and alongside proven partners“, commented Hamad Shahwan Aldhaheri, Executive Director of the Private Equities Department at ADIA.
In the last three-and-a-half-year Reliance Jio has disrupted the entire digital ecosystem of India. With cheap data plans, the telco has gathered more than 388 million subscribers, thus wearing the crown of top telecom operator in India. The telco has built its world-class eco-system with services like JioTV (live tv streaming), JioSaavn (music streaming), JioPay (payment service), JioFibre broadband, LYF smartphones and smart devices. The best part here is that the telco has been offering these devices, applications, content and services at affordable tariffs as part of Jio Digital Life.
“I am delighted that ADIA, with its track record of more than four decades of successful long-term value investing across the world, is partnering with Jio Platforms in its mission to take India to digital leadership and generate inclusive growth opportunities. This investment is a strong endorsement of our strategy and India’s potential,” commented Mukesh Ambani, Chairman and Managing Director of Reliance Industries.