RIL announced that Vista Equity Partners will investment Rs 11,367 crore in Jio Platforms, days after a mega stake sale deal with Facebook and another stake sale to Silver Lake Partners.
Reliance Jio on Friday said it has got yet another major equity investment of Rs 11,367 crore from US-based private equity firm Vista Equity Partners, days after a mega stake sale deal with Facebook and another stake sale to Silver Lake Partners. The investment by Vista Equity Partners in Reliance Jio values Jio Platforms at an equity value of Rs 4.91 lakh crore and an enterprise value of Rs 5.16 lakh crore, just like Silver Lake Partner’s deal earlier this week. According to a deal announced last month, Mark Zuckerberg’s Facebook agreed to buy a 9.99 per cent equity stake in Mukesh Ambani’s Reliance Jio for Rs 43,574 crore. “Like our other partners, Vista also shares with us the same vision of continuing to grow and transform the Indian digital ecosystem for the benefit of all Indians. They believe in the transformative power of technology to be the key to an even better future for everyone,” RIL Chairman Mukesh Ambani said in the statement.
In less than three weeks, Jio Platforms has now raised Rs 60,596.37 crore by selling a total stake of 13.5 per cent. Post transaction, RIL’s holding in Jio Platforms will stand at 86.5 per cent. The transaction is subject to regulatory and other customary approvals, company said in a press release. “We are thrilled to join Jio Platforms 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,” Robert F. Smith, Founder, Chairman and CEO of Vista, said.
Morgan Stanley acted as financial advisor to Reliance Industries for the deal. After the mega-deal with Reliance Jio, Facebook looks to further its commerce plan as the country has about 6 crore small businesses and a huge digital customer base of 1.3 billion users.
Meanwhile, Reliance Industries (RIL) shares ended 3.12 per cent higher at Rs 1507.25 apiece on BSE in Thursday’s otherwise weak market.