Reliance Industries, the parent company of India’s biggest telco Reliance Jio, has confirmed that overseas investment into its digital platform unit have hit 20 per cent, raising more than $12 billion.
Jio Platforms has received a swathe of investments in the past six months from a host of tech companies and investment funds, predominantly based in the US.
Social media giant Facebook invested $5.7 billion for a 9.99 per cent stake in Jio’s digital platform, as the company prepares to launch a raft of pay services across its Facebook Messanger, WhatsApp and Instagram services in India.
Over the weekend, US wealth fund Silver Lake increased its initial investment in Jio Platforms to take its total holding to 2.08 per cent.
UAE based investment firm Mubadala also invested $1.2 billion for a 1.85 per cent stake in Jio Platforms.
“I am delighted that Mubadala, one of the most astute and transformational global growth investors has decided to partner us in our journey to propel India’s digital growth towards becoming a leading digital nation in the world,” Mukesh Ambani, chairman and MD of Reliance Industries, said in a statement.
In May, US firm Vista Equity Partners invested $1.5 billion. In total, Reliance industries has received more than $12 billion, selling off 20 per cent of its stake in Jio Platforms.
The money raised will be used to pay down the debt of Reliance Industries and fast track Reliance Jio’s 5G efforts.