You are here: Home » News-CM » Equities » Hot Pursuit
Business Standard

RIL gains as KKR to buy stake in Jio Platforms

Business Finance

Capital Market 

Reliance Industries gained 1.15% to Rs 1,456.55 after the company announced that global investment firm KKR will invest Rs 11,367 crore in its wholly-owned subsidiary, Jio Platforms.

Reliance Industries before market hours today, 22 May 2020 announced that KKR will invest Rs 11,367 crore into Jio Platforms. The transaction values Jio Platforms at an equity value of Rs 4.91 lakh crore and an enterprise value of Rs 5.16 lakh crore. RIL said this is KKR's largest investment in Asia and will translate into a 2.32% equity stake in Jio Platforms on a fully diluted basis.

Over the last one month, leading technology investors, such as Facebook, Silver Lake, Vista, General Atlantic and KKR have announced aggregate investments of Rs 78,562 crore into Jio Platforms. KKR is making the investment from its Asia private equity and growth technology funds.

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

KKR is a leading global investment firm that manages multiple alternative asset classes, including private equity, energy, infrastructure, real estate and credit, with strategic partners that manage hedge funds.

Shares of RIL have gained 7.85% in last one month as compared to a 1.85% fall in benchmark BSE Sensex.

Commenting on the deal, Mukesh Ambani, Chairman and Managing Director of Reliance Industries, said, the company is looking forward to leveraging KKR's global platform, industry knowledge and operational expertise to further grow Jio.

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

Powered by Capital Market - Live News

(This story has not been edited by Business Standard staff and is auto-generated from a syndicated feed.)

First Published: Fri, May 22 2020. 09:17 IST