Silver Lake to invest USD750m in Jio Platforms

4 May 2020

Indian conglomerate Reliance Industries Limited (RIL) has announced that US-based technology investment firm Silver Late will invest INR56.56 billion (USD750 million) in its digital services unit Jio Platforms – which wholly owns Reliance’s telecom division Reliance Jio Infocomm (Jio) – for an equity stake of around 1.15%. The investment values Jio Platforms at an equity value of INR4.90 trillion and an enterprise value of INR5.15 trillion, which RIL notes represents a 12.5% premium to the equity valuation of the investment from Facebook announced late last month. As previously reported by TeleGeography’s CommsUpdate, the internet giant signed a binding agreement in late April to invest INR435.74 billion in Jio Platforms for a 9.99% stake.

Commenting on the deal, Reliance chairman Mukesh Ambani was quoted as saying: ‘I am delighted to welcome Silver Lake as a valued partner in continuing to grow and transform the Indian digital ecosystem for the benefit of all Indians. Silver Lake has an outstanding record of being a valuable partner for leading technology companies globally. Silver Lake is one of the most respected voices in technology and finance. We are excited to leverage insights from their global technology relationships for the Indian Digital Society’s transformation.’ Silver Lake’s portfolio includes investments in Airbnb, Alibaba Group, Ant Financial, Alphabet’s Verily and Waymo units, Dell Technologies and Twitter.

India, Reliance Jio Infocomm (Jio)