Reliance Industries announced KKR will invest INR113.7 billion ($1.5 billion) in its tech subsidiary, the fifth major investment in the unit in a month and taking the total to $10.46 billion.
The US private-equity company will acquire a 2.32 per cent stake in Jio Platforms, its largest investment in Asia, Reliance Industries stated. In recent weeks, the India conglomerate sold around 17 per cent of Jio Platforms, with the latest investment giving the unit a valuation of $65.4 billion, the company said.
Henry Kravis, co-founder and co-CEO of KKR, said few companies have the potential to transform a country’s digital ecosystem in the way Jio Platforms is in India and potentially worldwide.
The business “is a true home-grown next-generation technology leader” which is “unmatched in its ability to deliver technology solutions and services to a country that is experiencing a digital revolution”, Kravis explained.
“We are investing behind Jio Platforms’ impressive momentum, world-class innovation and strong leadership team.”
Jio Platforms operates broadband and online commerce services, including Reliance Jio, India’s largest mobile operator with 388 million subscribers.
Mukesh Ambani, chairman and MD of Reliance Industries, said: “I am delighted to welcome KKR, one of the world’s most respected financial investors, as a valued partner in our onward march to growing and transforming the Indian digital ecosystem for the benefit of all Indians. KKR shares our ambitious goal of building a premier digital society in India.”
Earlier in the week, Reliance Industries sold a 1.34 per cent stake to private equity company General Atlantic for $869.3 million, adding to deals with Vista Equity Partners, Silver Lake and Facebook.
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