NEW DELHI: Jio Platforms will raise Rs4,546.80 crore from TPG against 0.93% stake sale to the private equity giant, according to a release issued on Saturday by the Reliance Industries Limited subsidiary.
The transaction gives Jio Platforms an equity valuation of Rs4.91 trillion and an enterprise value of Rs5.16 trillion, the same as most of the eight deals have taken place at.
The Mukesh Ambani company has so far raised ₹1.02 trillion by selling stakes to some of the most marquee names from Silicon Valley and the rest of the world. The latest deal marks the ninth stake sale in less than eight weeks by India’s largest 4G mobile and technology platform.
The list of investors in Jio includes Facebook, KKR, Vista Equity Partners, Abu Dhabi Investment Authority, Mubadala and General Atlantic.
The first and the largest stake sale out of the nine was that of 9.99% to Facebook for Rs43,573.62 crore, announced on 22 April.
All the nine transactions are subject to regulatory approvals, with the one with Facebook likely to undergo a tighter scrutiny given concerns over net neutrality.
Reliance Jio Infocomm, which provides connectivity platform to over 388 million subscribers, will continue to be a wholly-owned subsidiary of Jio Platforms.
The stake sales are part of RIL’s plan to be debt-free by March. Most likely, the target is likely to be achieved by December, the parent company having mopped up Rs53,124 crore from a rights issue that closed on 4 June.
Of the Rs43,574 crore that it will receive from Facebook, Jio plans to use Rs28,000 crore to redeem optionally convertible preference shares (OCPS) of its parent RIL and retain Rs15,000 crore in its books, Jio’s top management had said in a conference call on 22 April.
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