Jio Platforms' 7th deal in less than 7 weeks: ADIA to invest Rs. 5,683.50 cr.

Reliance Industries recently said it sold 1.16 per cent stake in its digital unit to Abu Dhabi Investment Authority (ADIA) for Rs. 5,683.50 crore, taking the cumulative fund raising to Rs. 97,885.65 crore that will help pare debt at the oil-to-telecom conglomerate.

"This investment values Jio Platforms at an equity value of Rs. 4.91 trillion and an enterprise value of Rs. 5.16 trillion. ADIA's investment will translate into a 1.16 per cent equity stake in Jio Platforms on a fully diluted basis," the company said in a statement.

With this investment, Jio Platforms has raised Rs. 97,885.65 crore from leading global investors including Facebook, Silver Lake, Vista Equity Partners, General Atlantic, KKR, Mubadala and ADIA in less than seven weeks.

The AIDA deal comes within days of Abu Dhabi sovereign wealth fund Mubadala Investment Co picking up 1.85 per cent in Jio Platforms for Rs. 9,093.60 crore on June 5. On that day, private equity fund Silver Lake invested another Rs. 4,546.80 crore for additional 0.93 per cent stake in Jio Platforms.

With these investments, Reliance has sold all of the targeted 21 per cent equity in Jio Platforms ahead of a potential IPO.

Jio Platforms, a wholly-owned subsidiary of Reliance Industries Ltd., is a next-generation technology company. Reliance Jio Infocomm Ltd., with 388 million mobile subscribers, will continue to be a wholly-owned subsidiary of Jio Platforms.

The deals follows Facebook picking up a 9.99 per cent stake in the firm that houses India's youngest but largest telecom firm on April 22 for Rs. 43,574 crore. Within days of that deal, Silver Lake - the world's largest tech investor - bought a 1.15 per cent stake in Jio Platforms for Rs. 5,665.75 crore on May 4.

BS