Economy

Based Vista Equity Partners to invest Rs 11367 crore in Reliance Jio

Based Vista Equity Partners to invest Rs 11367 crore in Reliance Jio”

The trio of share sales help Reliance industries reduce the debt burden that it amassed during its recent expansionary phase.

USA tech investor Vista Equity Partners is to spend $1.71 billion buying a stake in budding Indian media powerhouse Jio Platforms.

Facebook had bought 9.99 per cent stake in Jio Platforms - the firm that houses India's youngest but biggest telecom firm, for Rs 43,574 crore. Dr Reddy's gained by 4.4 per cent, Hindustan Lever by 3.3 per cent and Hindalco by 2.5 per cent.

In a corporate filing with the BSE, Reliance Industries said that Vista's investment values Jio Platforms at an equity value of Rs 4.91 lakh crore and an enterprise value of Rs 5.16 lakh crore.

Following cash splashes from Facebook and Silver Lake, Vista Equity Partners has written a cheque for $1.5bn to acquire a 2.32 percent equity stake in the telco.

JP Morgan said RIL comments that it has received strong interest from other strategic and financial investors and is in good shape to announce a similar-sized investment in the coming months and that it has received interest from strategic and financial investors for its retail business should support the stock price.

More news: Putin, Merkel exchange congratulations on 75th anniversary of Nazi defeat

Reliance Jio Infocomm Limited, which provides connectivity platform to over 388 million subscribers, will continue to be a wholly-owned subsidiary of Jio Platforms.

Jio Platforms has now raised $ 8 billion Rs 60,596.37 crore -- amounting to a total of 13.4% stake -- from leading technology investors in less than three weeks.

Vista draws on almost two decades of expertise and best practices investing in and operating enterprise software companies and is committed to partnering with entrepreneurs, founders and executives to grow their companies through capital as well as operational support.

That is comparable with global platforms such as Alphabet, Tencent, and Alibaba that are largely debt-free and have large digital ecosystems.

Vista is a global investment firm focused on growing enterprise software, data, and technology-enabled companies that are catalysts of change.

The discussions were led by Ambani's close aide Manoj Modi and Brian Sheth, co-founder of Vista who is half-Indian and whose father hails from Ambani's home state of Gujarat, the source added. Some of its portfolio firms already have significant presence in India, the world's second largest internet market, said Vista. The deal will make Vista the largest investor in Jio Platforms after Reliance Industries and Facebook.



Like this

loading...
loading...

Latest


09 May 2020
Unemployment Rate Soars to 14.7%, Worst Since Great Depression
April's is the highest since just after the Great Depression of the 1930s. We have never seen anything like this before.

09 May 2020
Tottenham forward Son completes military service in South Korea
However, the mandatory duty can be waived for some athletes, including those who win Olympic medals or Asian Games titles. Pilsung, which means "certain victory", is a rallying cry for the Marine Corps as well as the Navy and the Air Force.

09 May 2020
Man City striker Aguero laces up his boots for virtual F1 race
Aguero is known to be a big F1 fan, attending a number of races including last year's Italian Grand Prix at Monza. Golfer Ian Poulter will make his third appearance with Renault.

09 May 2020
Biden asked to withdraw from presidential race over sexual assault allegations
In interviews a year ago about her harassment allegations, Reade described her interactions with Biden as not being intimidating. Joe Biden sexually harassed & sexually assaulted me. "I didn't want to talk badly about him", she said.

09 May 2020
New Zealand Planning Super Rugby Mini-Series
Eliesa Kotoa of the New Zealand Warriors is tackled during the round 2 NRL match against the Canberra Raiders in Gold Coast, Australia, March 21, 2020.

09 May 2020
Where the travel bubble' may let us visit next
New Zealand is the second largest source of tourists after China for Australia as 1.2 million kiwis visited Australia a year ago . Both prime ministers stressed travel between the two countries without a 14-day quarantine period would not happen imminently.

09 May 2020
Tennis Australia say "worst case scenario is no Australian Open"
Possibilities range from cancellation to imposing quarantine on overseas players and allowing only Australian fans into the event. The ATP and WTA Tours have suspended all activity till mid-July as countries around the world went into lockdown.

09 May 2020
Roy Horn Of ‘Siegfried & Roy’ Dies After Contracting Coronavirus
Horn had smuggled his pet cheetah onto the ship and asked Siegfried if he could make it disappear, according to the news outlet. In a statement provided to the Las Vegas Review-Journal, Roy's partner Siegfried spoke about losing his best friend.

09 May 2020
Apple 5G 2020 iPhone is now running late, Analyst says
As for the iPhone 12 Pro Max model, earlier rumors claimed that it might be delayed and could arrive in the last quarter of 2020. Apple's is already working on the iPhone 12 and all the models of iPhone 12 will come with the support for 5G networks.

09 May 2020
'Never give up': Queen Elizabeth's rousing VE Day speech
Princess Elizabeth at the wheel of an army vehicle while serving in the Auxiliary Territorial Service during the Second World War. Thanking the wartime generation, the monarch, 94, said: "They risked all so our families and neighbourhoods could be safe".