Saudi, US Firms Eye Stakes in Reliance Jio: Report

Saudi Arabia's Public Investment Fund (PIF) is reportedly considering to buy a minority stake in Jio.

Saudi, US Firms Eye Stakes in Reliance Jio: Report

US private equity firm General Atlantic may invest about $950 million in Jio

Highlights
  • Saudi Arabia's PIF is also considering to buy a minority stake
  • Deal with General Atlantic could be completed by this month
  • Facebook recently picked up minority stake in Reliance Jio
Advertisement

Two more firms are eyeing a share of Reliance Industries Ltd's $65-billion (roughly Rs. 6,500 crores) digital unit Jio Platforms, according to Bloomberg News, setting them up to be a part of a growing list of firms that have recently invested in the Indian company. US private equity firm General Atlantic is considering investing about $850 million (roughly Rs. 85 crores) to $950 million (roughly Rs. 95 crores) in the Mumbai-based company, a Bloomberg report said, citing people with knowledge of the matter. The deal could be completed as soon as this month, though no agreement has been finalized and plans may change, it added.

Saudi Arabia's Public Investment Fund (PIF) is also considering to buy a minority stake in Jio, Bloomberg said in a separate report.

General Atlantic declined to comment on the report, while Jio and PIF did not immediately respond to Reuters request for comment.

Hours earlier on Friday, Reliance Industries announced a $1.5 billion (roughly Rs. 150 crores) stake sale in Jio to Vista Equity Partners, the third deal in just over two weeks.

The conglomerate cut a Rs. 43,574 crore deal with Facebook for a 9.99 percent stake in Jio on April 22 and a few days later, it secured a Rs. 5,656 crore investment from private equity firm Silver Lake.

Together the three deals will inject a combined $8 billion (roughly Rs. 800 crores) in the telecoms-to-energy group and help it pare its debt.

Vista's investment gave Jio an equity value of Rs. 6,500 crores ($65 billion) and an enterprise value of Rs. 5,16,000 crores, said Reliance, controlled by billionaire tycoon Mukesh Ambani.

The potential investments from New York-based General Atlantic and the Saudi sovereign wealth fund, which manages over $300 billion (roughly Rs. 30,000 crores) in assets, would inject money on top of the $8 billion (roughly Rs. 800 crores) which Jio has already raised.

Saudi's PIF has been buying minority stakes several companies. Last month, it disclosed an 8.2 percent stake in coronavirus-hit Carnival Corp, sending the cruise operator's shares up nearly 30 percent higher.


Is Mi 10 an expensive OnePlus 8 or a budget budget S20 Ultra? We discussed this on Orbital, our weekly technology podcast, which you can subscribe to via Apple Podcasts or RSS, download the episode, or just hit the play button below.

Comments

For the latest tech news and reviews, follow Gadgets 360 on X, Facebook, WhatsApp, Threads and Google News. For the latest videos on gadgets and tech, subscribe to our YouTube channel. If you want to know everything about top influencers, follow our in-house Who'sThat360 on Instagram and YouTube.

Can the Mi 10 Help Xiaomi Be Seen as a Premium Brand in India?
US Rule May Allow Huawei and US Firms to Work Together on 5G Standards
Share on Facebook Gadgets360 Twitter Share Tweet Snapchat Share Reddit Comment google-newsGoogle News
 
 

Advertisement

Follow Us

Advertisement

© Copyright Red Pixels Ventures Limited 2024. All rights reserved.
Trending Products »
Latest Tech News »