KKR a global investment firm based in New York is planning to invest nearly ₹11,367 Crore into all the Jio Platforms. According to Reliance Industries, it is the largest investment by any firm in Asia.
“Reliance Industries Limited and Jio Platforms announced today that KKR will invest Rs 11,637 Crore into Jio Platforms. The transaction values Jio Platforms at an equity value of ₹4.91 Lakh Crore and an enterprise value of ₹5.16 Lakh Crore” said RIL
KKR is a leading Global Investment Firm that manages alternative asset classes, including private equity, energy infrastructure, real estate and credit, with strategic manager partnership that manage hedge funds.
The investment will translate to 2.32 % equity stake in Jio Platforms on fully diluted basis. KKR is making the investment from its Asia private equity and growth technology funds and the transaction is subject to regulatory and other customer approvals.
The deal comes after General Atlantic an American equity firm invested Rs 6,600 Crore in Reliance Industries. Previously Tech Giant Facebook acquired 10% stake for a whopping investment of $5.7 Billion, followed by Silver Lake and Vista Equity Partners who agreed to invest $2.25 Billion in Reliance Jio.
Mukesh Ambani the Chairman and Managing Director 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 India’s digital ecosystem for the benefit of all Indians. KKR shares our ambitious goal of building a premiere digital society in India.”
“KKR has a proven track record of being a valuable partner to industry leading franchises and has been committed to India for many years. We are looking forward to leveraging KKR’s global platform, industry knowledge and operational expertise to further grow Jio,”
KKR has a rich history of investing in tech companies. The firm has invested $30 Billion in tech companies. The firm has invested in more than 20 companies in technology, media and telecom sector. KKR investment include BMC software, Byte Dance and Gojek.