Vista Equity Partners will invest Rs 11,367 crore into Jio Platforms at an equity value of Rs 4.91 lakh crore and an enterprise value of Rs 5.16 lakh crore, Reliance Industries and Jio Platforms announced today. This investment will translate into a 2.32 per cent equity stake in Jio Platforms on a fully diluted basis, making Vista the largest investor in Jio Platforms behind Reliance Industries and Facebook.
RIL's Jio Platforms has scored a hat-trick in less than three weeks, raising Rs 60,596.37 crore from leading technology investors. Jio Platforms, a wholly-owned subsidiary of Reliance Industries, comprises Jio's leading digital apps, digital ecosystems and Reliance Jio Infocomm under one umbrella. "Jio's vision is to enable a Digital India for 1.3 billion people and businesses throughout India, especially small merchants, micro-businesses and farmers. Jio has brought transformational changes in the Indian digital services space and propelled India on the path towards becoming a global technology leader and among the leading digital economies in the world," a company statement said.
Vista has more than $57 billion in cumulative capital commitments and its global network of companies collectively represent the 5th largest enterprise software company in the world, it added. Vista portfolio companies have a significant presence in India, with over 13,000 employees, the statement said.
"Like our other partners, Vista also shares with us the same vision of continuing to grow and transform the Indian digital ecosystem for the benefit of all Indians. They believe in the transformative power of technology to be the key to an even better future for everyone. We are excited to leverage the professional expertise and multi-level support that Vista has been offering to its investments globally for the benefit of Jio," RIL Chairman and MD Mukesh Ambani said.
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Robert F Smith, founder and Chairman and CEO of Vista, said the company believed in the potential of the digital society that Jio was building for India. "Mukesh's vision as a global pioneer, alongside Jio's world-class leadership team, have built a platform to scale and advance the data revolution it started. We are thrilled to join Jio Platforms to deliver exponential growth in connectivity across India."
On May, global tech investor Silver Lake decided to invest Rs 5,655.75 crore in Reliance Industries Jio Platforms. It represents 12.5 per cent premium to the equity valuation of the Facebook investment announced on April 22. Before that, Facebook had bought a 9.99 per cent stake in Ambani's Jio Platforms for Rs 43,574 crore on April 22, making it the largest minority shareholder in the company.
Following the update, shares of Reliance Industries were quoting Rs 1550 apiece on BSE, rising 2.83% or 38 points.