Abu Dhabi Investment Authority (ADIA) will invest Rs 5,683.50 crore for a 1.16 percent stake in Jio Platforms. ADIA’s fund infusion is eighth investment in Jio Platforms, the digital arm of Reliance Industries, over the past seven weeks.
The ADIA deal values Jio Platforms at an equity value of Rs 4.91 lakh crore and an enterprise value of Rs 5.16 lakh crore.
With the eight investments, the total amount invested in Jio Platforms now stands at Rs 97,886 lakh crore for 21.06 percent share in the telecom major.
Abu Dhabi Investment Authority is a sovereign wealth fund of the Abu Dhabi emirate of the United Arab Emirates. ADIA manages a global investment portfolio that is diversified across more than two dozen asset classes and sub-categories.
Early Friday, Mubadala had announced a Rs 9,093.60 crore investment for a 1.85 percent stake.
On Friday, Silver Lake Partners also announced an additional Rs 4,547 crore investment; for a further 0.93 percent stake in the telecom major, having invested earlier in May.
Facebook was the first to put its finger in the Jio Platforms pie with a Rs 43,574 crore investment for a 9.99 % stake. The investment made Facebook the largest minority shareholder in Jio Platforms; valued the RIL technology arm at Rs 4.62 lakh crore pre-money enterprise value.
Subsequently, a number of American private equity players grabbed a slice in the digital subsidiary of the Indian conglomerate.
Private equity firm Silver Lake Partners announced a Rs 5,655.75 crore investment for 1.15 percent stake in early May. It was follow by Vista Equity Partners’ Rs 11,367 crore investment for a 2.32 percent stake.
General Atlantic announced a Rs 6,598.38 crore investment for a 1.34 percent stake in Jio Platforms mid-May. And it was follow by KKR, which announced an investment worth Rs Rs 11,367 crore for a 2.32 percent stake.
Mukesh Ambani, Chairman and Managing Director of Reliance Industries, said, “I am delighted that ADIA, with its track record of more than four decades of successful long-term value investing across the world, is partnering with Jio Platforms in its mission to take India to digital leadership and generate inclusive growth opportunities. This investment is a strong endorsement of our strategy and India’s potential.”
Hamad Shahwan Aldhaheri, Executive Director of the Private Equities Department at ADIA, said, “Our investment in Jio is a further demonstration of ADIA’s ability to draw on deep regional and sector expertise to invest globally in market leading companies and alongside proven partners.”