ADIA to invest Rs 5683.50 crore in Jio Platforms

Reliance Industries (RIL) on Sunday said a unit of Abu Dhabi Investment Authority (ADIA) has invested Rs 5,683.50 crore in Jio Platforms.

RIL and Jio Platforms on Sunday announced an investment of Rs 5,683.50 crore by a wholly owned subsidiary of the Abu Dhabi Investment Authority (ADIA). 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. ADIA's investment will translate into a 1.16% equity stake in Jio Platforms on a fully diluted basis.

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.

Jio Platforms, a wholly-owned subsidiary of RIL, is a next-generation technology platform focused on providing high-quality and affordable digital services across India, with more than 388 million subscribers.

Established in 1976, ADIA is a globally-diversified investment institution that prudently invests funds on behalf of the Government of Abu Dhabi through a strategy focused on long-term value creation. ADIA manages a global investment portfolio that is diversified across more than two dozen asset classes and sub-categories.

Separately, RIL after market hours on Friday (5 June) announcd that Silver Lake and its co-investors will invest an additional Rs 4,546.80 crore in Jio Platforms, in addition to the Rs 5,655.75 crore of investment by Silver Lake announced on 4 May 2020. This brings the aggregate investment by Silver Lake and its co-investors to Rs 10,202.55 crore. Silver Lake's investment will translate into a 2.08% equity stake in Jio Platforms on a fully diluted basis.

On a consolidated basis, the company's net profit fell 38.74% to Rs 6,348 crore on 2.5% decline in revenue to Rs 151,209 crore in Q4 March 2020 over Q4 March 2019.

Shares of RIL rose 0.04% to end at Rs 1,580.60 on Friday. The scrip gained 2.39% to hit an intraday and a record high of Rs 1,617.70 after the company announced Mubadala deal.

RIL on Friday announced that Abu Dhabi-based Mubadala Investment Company, will invest Rs 9,093.60 crore in Jio Platforms. Mubadala's investment will translate into a 1.85% equity stake in Jio Platforms on a fully diluted basis.

RIL is India's largest private sector company. Its activities span hydrocarbon exploration and production, petroleum refining and marketing, telecom and digital services.

Powered by Capital Market - Live News