New Delhi, Jun 18: Reliance Industries Ltd on Thursday said it has sold a 2.32 per cent stake in its digital unit to Saudi Arabia's Public Investment Fund (PIF) for Rs 11,367 crore, taking the cumulative fund raising to about Rs 1.16 lakh crore in two months.
Starting with Facebook Inc on April 22, Reliance has sold almost 25 per cent of equity in Jio Platforms - the maximum reports suggest the company intends to dilute to financial investors.
The investment by Saudi sovereign wealth fund is "at an equity value of Rs 4.91 lakh crore and an enterprise value of Rs 5.16 lakh crore", the company said in a statement.
With this investment, Jio Platforms has raised Rs 115,693.95 crore from some of the leading global investment powerhouses at a time when the world is deeply impacted by the coronavirus pandemic, resulting in a recession kind of environment for the global economy.
"With the addition of PIF's investment, Jio Platforms has established partnerships with a marquee set of global financial investors, who will contribute to establishing the Digital Society vision for India," the statement said.
Jio Platforms houses India's biggest telecom firm by subscribers, Reliance Jio. With more than 388 million users, Jio has forced out several rivals and driven consolidation in the sector since entering the market in 2016 with free voice services and cut-price data.
Over the past two months, billionaire Mukesh Ambani's oil-to-telecom conglomerate has announced the sale of about $14 billion of assets, completed a Rs 53,124 crore rights issue and slowed the run rate of new investment by a quarter.
These will help Reliance meet its target of paying off Rs 1.61 lakh crore of net debt by the end of the year.
This is PIF's largest investment into the Indian economy to date.
Ambani, chairman and managing director of Reliance Industries, said, "We at Reliance have enjoyed a long and fruitful relationship with the Kingdom of Saudi Arabia for many decades. From oil economy, this relationship is now moving to strengthen India's New oil (data-driven) economy, as is evident from PIF's investment into Jio Platforms."
Yasir Al-Rumayyan, governor of PIF, commented: "We are delighted to be investing in an innovative business which is at the forefront of the transformation of the technology sector in India. We believe that the potential of the Indian digital economy is very exciting and that Jio Platforms provides us with an excellent opportunity to gain access to that growth."
"This investment will also enable us to generate significant long-term commercial returns for the benefit of Saudi Arabia's economy and our country's citizens, in line with our mandate to safeguard and grow the national wealth of the Kingdom," he said.
The transaction is subject to Indian regulatory and other customary approvals.
Morgan Stanley acted as financial advisor to Reliance Industries and AZB & Partners and Davis Polk & Wardwell acted as legal counsels.
Prior to this deal, Reliance had sold 22.38 per cent of Jio Platforms to investors including Facebook Inc, securing Rs 104,326.95 crore in eight weeks.
Facebook kicked off the party, investing Rs 43,573.62 crore for a 9.99 per cent stake on April 22. This was closely followed by a further Rs 60,753.33 crore in investment.
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. It invested another Rs 4,546.80 crore for additional 0.93 per cent stake on June 5, taking its total holding to 2.08 per cent
Private equity KKR and Vista Equity Partners have taken 2.32 per cent stake each for Rs 11,367 crore apiece. KKR invested in Jio Platforms on May 22 while Vista invested on May 8.
Abu Dhabi sovereign wealth fund Mubadala Investment Co picked up 1.85 per cent in Jio Platforms for Rs 9,093.60 crore on June 5. Abu Dhabi Investment Authority on June 7 invested Rs 5,683.50 crore for a 1.16 per cent stake in Jio Platforms.
On May 17, global equity firm General Atlantic picked up 1.34 per cent stake in Jio Platforms for Rs 6,598.38 crore.
Global investment firm TPG on June 13 picked up 0.93 per cent for Rs 4,546.80 crore while L Catterton bought 0.39 per cent for Rs 1,894.50 crore.
Comments
U NEED TO GO THRU STATISTICS... Many girls IN ANOTHER COMMUNITY are threatened and raped before they get to the marriage age from their own family members as well as the saints , most of them are in jails...
Some community girls are used and misused by the men and the girl tolerates b4 the marriage. The drunken men alwz escape with cheddi culture by threatening the young girls and their parents.... Go thru the statistics... It is better to get married and take responsibility of the family if the girl is ready to marry.
Dear Prathima,
You said some communities like under age girls for..,
see my sister, what difference does it make age below 18 to 15. Do they have more power than girls above 18.
does girl become very old if she is above 18. Above 18means usually it can go upto 28.
95% marriage of girls take place between 16-30
May God protect our girls and boys also.
Only the girl can say if she has been raped or not
what about other religion girls starts having sex immediate after puberty? even some try when they enter highschool.
Listen carefully, the above text says :
" Sex with a wife who is under 18yrs of age is rape and therefore a crime. "
It interpretes as child marriage is invalid.
If the marriage is invalid how do they become wife and husband.
So this rule may does not applicable such wife.
This law is not thought through. Judges need the input of psychologists to understand the behaviour of adolescents. There are teenagers today having relationships before 18. Are they going to throw them in jail?
Ridiculous judgement. Marriage is society's way of allowing for the purpose of having children, since the married couple will then have to make the necessary sacrifices to bring up the children. If under 18 is statutory rape then why allow the marriage in the first place? The SC is coming up in many cases with foolish decisions that are against accepted norms and practices. The SC will risk making itself into an impotent body if it does not have a clue on how this is viewed by the people at large.
Underage marriage is still practiced by muslims
Many pedophile worshipers belonging to a piece full community disguising as hindu are venting their anger against this judgement for reasons very well known to all. next we should ban all books / texts /manuals/biographies which eulogizes pedophiles/ pedophilia.
Some community men like young underage girls for . We welcome the order.
Is its applicable only to Hindus or is it also applicable to Muslims? ..I see lot of them getting married at 15year 2 children by 18yrs..
What if the wife does not tell the husband the correct age and inter course is consensual? Later on there is marital discord, can then it be considered as rape?
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