Tag: reliance industries

Investors That Make Reliance Retail The Largest Retailer In India

The Reliance Retail has achieved success and become the Indian largest retailer, because of its investments, the investor demand for reliance retail business is so strong that Mukesh Ambani is putting investors on a wait list. Mubadala an Abu Dhabi based investor has recently decided to invest ₹6,248 crore in the Reliance Retail to get a 1.40% equity stake for its investment.

This announcement comes day after Silver Lake partners said that it will invest ₹1,875 crore in India largest retailer. In all Reliance retail has managed to raise ₹24,847.5 crore by selling 5.6% stake to private equity and sovereign funds. That includes General Atlantic which will pick up 0.84% stake for ₹3,675 crore and KKR and co which will also invest ₹5,500 crore for 1.28% holding.

Reliance Retail has a total of 11,784 stores across consumer, electronics, grocery, general merchandise, fashion and lifestyle. And reported a consolidated turnover of ₹1,62,936 crore and net profit of ₹5,448 crore for the year March, 2020. The acquisition of future group retail and logistics business for ₹27,513 crore will add 1,736 Big Bazaar and other stores 28.3 million sq. ft. of retail area across grocery and fashion segments.

A Brief about Reliance Retail

Reliance Retail is a retail initiative of the group and is a central to our consumer facing businesses. It has is a short time forged strong and enduring bonds with millions of consumers by providing them unlimited choice, outstanding value proposition, superior quality and unmatched experience across all its stores. Reliance retail is the largest retailer in the country.

Reliance Retail has adopted a multi prong strategy and operates chain of neighborhood stores, supermarkets, wholesale cash and carry stores, specialty stores and online stores and has democratized access to a variety of products and services across diverse segments for Indian consumers. Reliance retail reported a turnover of Rs. 1,30,566 crore for financial year 2018 to 2019. As of 2019, Reliance retail operates 10,901 stores across 6,700 plus cities with a retail area of over 24.5 million sq. ft.

The various subdivisions of Reliance Retail

Reliance retail operates Reliance Fresh, Reliance Smart and Reliance Market stores. In the consumer electronics category Reliance Retail operates Reliance Digital, Reliance Digital Express mini stores and Jio stores and in the fashion and lifestyle category it operates Reliance Trends, Project Eve, Reliance Footprint, Reliance jewels and AJIO.com in addition to a large number of partner brand stores across the country.

Reliance Retail has emerged as the partner of choice for many International brands and has established exclusive partnership with many revered International brands such as Diesel, Superdry, Hamleys, Ermenegildo, Zegna, Marks and spencer, Paul and shark, Thomas pink, Kenneth Cole, Brooks Brothers, Steve Madden, Payless Showsource, Grand Vision and many more.

Below here are the recent investments made into the Reliance Retail:

Saudi Arabia’s Public Investment Fund

On November 5, 2020, Reliance Retail, raised INR 9,555 Cr ($1.3 Bn approximately) from Saudi Arabia’s Public Investment Fund (PIF), to accelerate the growth of its digital retail empire. It is a record eighth by marquee global investors in Reliance Retail. This investment values Reliance Retail at a pre-money equity value of INR 4.587 lakh Cr (around $62.4 Bn)

PIF (Public Investment Fund) is one of the largest sovereign wealth funds in the world, which works alongside various global strategic partners and investment managers. It acts as the Kingdom of Saudi Arabia’s primary investment arm aiming toward generating long-term value for the Kingdom of Saudi Arabia

Mubadala Investment

The most recent investment was made by Mubadala Investment Company who is investing ₹6,248 crore ($852.84 million) in the Reliance Retail giving the unit a pre-money equity value of 4.29 trillion rupees. The Mubadala’s investment will translate into a 1.40% equity stake in Reliance Retail on a fully diluted basis. This investment by Mubadala pegs pre investment equity valuation of Reliance Retail at ₹4.28 lakh crore.

Ambani is also replicating funding blitz for the retail unit after selling stakes in Jio Platforms as investors, including Facebook Inc. and Google, bet on his efforts to build a technology giant that offers data, content and commerce. Mubadala had also invested $1.2 billion in Jio Platforms earlier this year.

Shareholding	No of Shares
Vanishree Commercials Ltd	297,000,000
Infotel Infocomm Enterprises Pvt. Ltd	36,000,000
Silver Lake	109,929,733
KKR	81,348,479
General Atlantic	53,865,885
Silver Lake	27,482,594
Mubadala	91,572,004
Total Equity Shares of RRVL	6,534,957,216

General Atlantic Investment

General Atlantic a leading global growth equity firm decided to invest ₹3,675 crore into Reliance Retail. This investment values Reliance Retail at a pre money equity value of ₹4,285 lakh crore. The general Atlantic investment will translate into a 0.84% equity stake in reliance retail on a fully diluted basis. This marks the second investment by General Atlantic in a subsidiary of Reliance Industries, following a ₹6,598.38 crore investment in Jio platforms.

Silver Lake Investment

The Silver Lake would invest ₹7,500 crore in subsidiary Reliance Retail Ventures for a 1.75% stake, valuing the company at ₹4.2 trillion. Earlier in 2020, Silver Lake invested ₹10,202 crore in Jio Platforms, Reliance digital service platform. This however, set the stage for more stake sales by the company including one to PE firm KKR, is also an investor in Jio Platform.

Silver Lake is a US based Global Technology Investment firm with an asset size $60 Billion. It has 56 portfolio companies and 300,000 employees by these firms. The company has made investment in India with Jio Platform, Byjus and Eka with 10 acquisitions.

KKR Investment

Global Investment firm KKR has also invested ₹5,500 crore in Reliance Retail for 1.28% equity share. This was the second investment by KKR in a Reliance subsidiary, following a ₹11,367 crore investment in Jio Platform which was announced earlier in 2020. KKR investment values Reliance Retail at a pre money equity value of ₹4.21 trillion.

KKR has also invested $1.5 billion in the Jio platforms, its Co-founder and Co –CEO says that “we are pleased to deepen our relationship with Reliance Industries through this investment in Reliance Retail Ventures. Reliance retail new commerce platform is filling an important need for both consumers and small businesses as more Indian consumers have moved to shopping online”.

Jio platforms backing Reliance Retail

RIL had given the option to investors in Jio Platforms to consider backing Reliance Retail as it sought to unlock value, following the acquisition of Future Group’s retail assets last week, persons in the know said. Reliance Retail could look at offloading a 25-30% stake to a combination of private equity firms and tech giants such as Facebook, Google, and Intel, presenting telecom and retail as a potent force in India’s consumption story.

Along with Jio, retail contributes 35% to Reliance Industries consolidated earnings before interest, taxes, depreciation, and amortization (Ebitda), Mukesh Ambani, RIL’s chairman, had said at the firm’s annual general meeting in July. Reliance has offloaded nearly 33% in Jio Platforms to 14 investors for Rs 1.52 trillion between April and June, emerging as the only firm in the country to go in for a massive monetization exercise at the height of the lockdown.

Jio Mart

The reliance Retail runs supermarkets, India largest consumer electronics chain store, a cash and carry wholesaler, fast fashion outlets and an online grocery store called as Jio Mart. Ambani says that “we will induct global partners and investors into Relaince Retail in the next few quarters”. As the firm was planning to scale up Jio Mart as it new venture.

JioMart, which went live across 200 cities in May has crossed 250,000 in daily orders with the number growing each and every day. Since then daily orders have crossed the 400,000 mark. JioMart was pegged at ₹ 500 per transaction, but Ambani is trying to increase this number by taking the platform into areas beyond groceries, including electronics, fashion, and healthcare.

The company is also trying to work closely with WhatsApp which is owned by Facebook to boost the reach of JioMart. Apart from small merchants, Reliance Retail would also look to work closely with farmers to source more food items from them, as it seeks to scale up its farm to fork operations. At the same time, Reliance Retail would continue to push its presence into small towns and cities, Ambani said, adding more outlets in these places.

November 6, 2020

Reliance launches its own video conference platform JioMeet to compete with Zoom, Google Meet
After launching JioMart, Mukesh Ambani’s Reliance Jio has launched JioMeet video conferencing app with unlimited free calling on July 2. JioMeet is available across Android, iOS, Windows, macOS and web. Jiomeet plans to compete Zoom, Microsoft Teams, and Google Meet during the Coronavirus outbreak. On April 30, Jio parent Reliance Industries Limited (RIL) had revealed its plans to launch the JioMeet platform while announcing its quarterly earnings for the fourth quarter.

As people are forced to change ways of working due to the COVID-19 crisis, video calling has emerged as a necessary tool for businesses to function. Hence, platforms like Zoom, Microsoft Teams and Google Meet have become increasingly popular. Now, to compete with these apps, Reliance Jio has decided to enter the market with its own video conferencing app JioMeet.

However, Jio Meet won’t be a regular video calling platform as the company also plans to integrate its Health platform with it. It will allow users to consult with doctors online and much more. Interestingly, Jio already had an app on Google Play Store listed as JioHH Doctor that allows doctors to offer their services online So this app could possibly be integrated with JioMeet.

In its Q4 fiscal results, Reliance mentioned that it is launching a video calling platform for India. Senior VP at Reliance Jio Infocomm, Pankaj Pawar, said,
“Jio Meet is a platform which has many unique options- it actually has an ability to work on any device, any operating system, and it has an ability to do a complete collaboration. And effectively, this collaboration does not limit to a typical video conferencing app.”

A report states that the Jio Meet app works across different platforms and is available on Android, iOS, macOS, Microsoft Windows and also as a third party plugin for Microsoft’s Outlook email service for enterprise customers. Moreover, the service will be available on browsers(web). It will have a dedicated website that will allow users to join a meeting, irrespective of the platform they are using.

JioMeet Features

The company has said that it is ensuring that the service is easy to use and doesn’t come with a lot of complexities. It is also being said that the final version of the app will have health features along with integration with education services like virtual classrooms for students and more.

The website for JioMeet is listed on Google Search. Users can visit it by going to https://jiomeet.com/. However, it isn’t live yet and you will be greeted by the message saying “India’s own most secure video conferencing solution coming soon.” The website will come into operations soon as Jio has been released officially.

JioMeet offers features like Zoom and Google Meet. It allows the host control options and to record logs of audio and video calls. JioMeet will also offer HD audio and video quality during the video conference across all devices, similar to Zoom. JioMeet allows unlimited meetings per day. The meetings can be scheduled in advance and details shared with invitees. Unlike Zoom, JioMeet users can expand any participant’s video or shared screen video by a double tap.

JioMeet offers easy sign up option with either mobile number or e-mail ID. It allows users to host instant meetings while Zoom allows sign up only with e-mail ID. In JioMeet, each meeting is password protected. The host can also enable ‘Waiting Room’ to ensure no participant joins without permission. It also allows for the creation of groups and single-click calling or chatting.

With JioMeet, users can initiate a video conferencing with their friends, family or colleagues at work. The service supports HD audio and video call quality with up to 100 participants in a group. In one of the screenshots on Play Store, the number of users is more than 200 which indicates the possibility of the increase in limit.

Moreover, JioMeet also lets you adjust video call quality according to the network zone thus ensuring zero lag. JioMeet also might have many features like locking the meeting. It might also let users share the screen. It lets host control who can join the meeting alomg with control to remove the unwanted attendees if required.

Apart from all these features, Jio plans to offer healthcare and education services along with video conferencing. Jio’s eHealth platform integrated with the Meets app will allow users to consult doctors virtually. The eEducation platform will create virtual classroom for students and teachers, record sessions and notes, assign and submit homework.

Also Read: Mukesh Ambani Is All Set To Revolutionize The E-Commerce Industry with JioMart

How can users use Jio Meet?

The Reliance Industries stated,
“Jio Meet is a platform which has many uniqueness- it actually has an ability to work on any device, any operating system, and it has an ability to do a complete collaboration. , this collaboration does not limit to a typical video conferencing app.”

As the JioMeet app has been officially released here’s how to use Jio Meet once it goes live.
- Download Jio Meet from Google Play Store or Apple App Store
- Open the app and it will display a login page that asks email or mobile no. for access. This will be same for all users including the enterprise users.
- Users can Sign-in with OTP on the bottom right corner, just below the login button.
- Enter your mobile number to get a verification code and enter the OTP to log in.
- Once logged in, you can make audio and video calls and can even initiate a group video call by adding you Jio Meet contacts to a group.
Jio Meet will be releasing across many Platforms

JioMeet Vs Zoom Differnce

Basic free plan

The main JioMeet VS Zoom difference is that JioMeet app currently allows 100 participants in on a group video call which can last up to 24 hours with no restrictions whereas Zoom imposes a 40-minute time limit on group meetings of three or more people up to 100. After 40 minutes a new and fresh meeting has to be started. Other features include ‘Safe Driving Mode’ while driving, multi-device login support for up to five devices and seamless switching from one device to other while on call.

User Experience

The user experience of both JioMeet & Zoom app is quite similar. JioMeet is available across all platforms such as Androids, iOS, Windows, macOS and etc. JioMeet download can be done from the app store. Users can download JioMeet from its official website as well.

JioMeet users can schedule meetings in advance, create password-protect meetings and create waiting room as well. However, the video quality has been limited to 720p so far. But users can also use third-party camera apps for better video quality. Zoom also provides this feature.

Paid Plans

There are three paid plans for Zoom users – for small teams, another for small and medium-sized enterprises and lastly for large enterprises. The plans start at ₹1,120 per month, that allows 9 participants per host. For larger enterprises, Zoom allows up to 1,000 participants in one meeting. On the other hand, JioMeet app has not announced its paid plans as of yet. Hence, it is still unclear as to how JioMeet app will accommodate large enterprises. So JioMeet is likely to announce paid plans to accommodate more than 100 users.

Encryption

Encryption has a vital role in video conferencing apps. Zoom had to face backlash from users due to concerns regarding privacy and security. But Reliance Jio has claimed that all meetings hosted through JioMeet app are encrypted. Yet the company has not provided any further details of its End-to-End (E2E) encryption. To ensure the more security and privacy, Zoom has started offering E2E encryption to both its paid as well as free users.

Everything you need to know about JioMeet

Jio has finally launched its video conferencing app JioMeet to take on the likesof rivals Zoom and Googlemeet. Jiomeet is available across all platformsAndroid, iOS, Windows, mac OS and web. The video conferencing app supports callconferencing up to 100 people and meeting can go up to 24 hours. A…

StartupTalkyArbaaz sayed

Meanwhile, Jio said that it is looking at the opportunity from a different perspective to offer consumers with a range of use-cases taking security and simplicity into account. So, we can expect that Jio Meet will go live within next one or two weeks.
July 4, 2020
Reliance Jio and Its Investors: Everything You Need to Know About It

Reliance Jio is not just a telecom network, it is an entire ecosystem that allows Indians to live their digital life to the fullest. It was founded by Mr Mukesh Ambani who has been working on the JIO Infocomm Ltd since 2010. The idea is said to have come into existence when his daughter Isha Ambani complained of Low data speed (She is to thank for the fast downloads we are availing using JIO now).

Jio Platforms is a next-generation technology platform focused on providing high-quality and affordable digital services across India. Jio Platforms has made significant investments across its digital ecosystem which is powered by leading technologies like broadband connectivity, smart devices, cloud and edge computing, big data analytics, artificial intelligence, Internet of Things(IoT), augmented and mixed reality, and blockchain.

Jio’s vision is to enable a Digital India for 1.3 billion people and businesses across the country, including small merchants, micro-businesses, and farmers so that all of them can enjoy inclusive growth together. With these investments, Ambani plans to drive Jio ahead in the competition with giants like Amazon.com Inc. and Walmart Inc., both of which have investments in.

In this article, we will talk about the companies that have invested in Reliance JIO in 2020. So let’s get started.

Companies that have Invested in Reliance Jio

Facebook and Jio Deal
Silver Lake Partners and Jio Deal
Vista Equity Partners and Jio Deal
General Atlantic and Jio Deal
KKR & Co. Inc. and Jio Deal
Mubadala Investment Company and Jio Deal
Abu Dhabi Investment Authority (ADIA) and Jio Deal
TPG and Jio Deal
L Catterton and Jio Deal
Saudi Arabia’s PIF and Jio Deal

Facebook and Jio Deal

The social media giant Facebook had announced on April 22 its plans to invest $5.7 billion which is Indian INR 43574 Crore for a 9.99% stake in Reliance Industries Limited’s(RIL) telecom business, Reliance Jio. By partnering with Jio, Facebook plans to take advantage of its popular WhatsApp messenger to offer digital payment services to small grocers in India.

With a 9.9 % stake in Reliance Jio, Facebook gets a firm foothold in a fast-growing market in India. Also, it helps Reliance Jio to significantly cut down its debts. The deal valued Jio at Rs 4.62 lakh crore ($65.95 billion). It was Facebook’s biggest deal since the $22 billion buyouts of WhatsApp in 2014.

Three days later, Reliance Retail signed a commercial agreement with Facebook’s WhatsApp to further the reach of its online venture JioMart as it went live on WhatsApp on April 26. Jio Mart began offering its services in sub-urban Mumbai areas like Navi Mumbai, Thane, and Kalyan. These services will be extended all over the country.

This deal is expected to show the capacity for scaling due to a heavy user base comprising 400 million WhatsApp users and Jio’s 388 million subscribers. JioMart uses WhatsApp to bring in high-speed information and digital cash. JioMart and Whatsapp will empower nearly 3 crores of small Indian Kirana shops to digitally transact and take on giants such as Amazon India.

Silver Lake Partners and Jio Deal

Jio-Silver Lake deal came less than two weeks after the Facebook deal. On the 4th of May, Silver Lake Partners, an American private equity giant, bought a 1% stake in Jio Platforms for INR 5,655.75 crore($750 million). This deal took Jio’s enterprise value to INR 5.15 lakh crore and represents a 12.5% premium to the equity valuation of Facebook’s investment again hitting the investing road with Jio, they invested around INR 4,546.8 crore taking around 2.08% of the company stake. Now the aggregate investment by this firm is around INR 10,202.55 crore.

"Silver Lake Partners has an outstanding record of being a valuable partner for leading technology companies globally. We are excited to leverage insights from their global technology relationships for the Indian digital society’s transformation."- Mukesh Ambani, Chairman, Reliance Industries Limited

These deals will help Reliance use Facebook’s tech in its new businesses. It will give the US tech giant’s Indian reach a massive boost through a partner in Ambani who is widely perceived to be influential in government circles. Silver Lake’s investment highlights Reliance’s ability to monetize its digital services business and strengthens Reliance’s already strong financial flexibility.

Silver Lake Partners (SLP) was launched in 1999 as a specialist firm to focus on technology company investments. SLP made headlines after acquiring PC maker Dell Inc in conjunction with Michael Dell in 2013. Its portfolio of investments collectively generates revenues of more than $204 billion annually. Its portfolio includes Twitter, Airbnb, Alibaba Group, Ant Financial, Didi Chuxing, Motorola Solutions, and City Football Group.

Vista Equity Partners and Jio Deal

On the 8th of May, Vista Equity Partners, a US-based private equity firm running the world’s largest exclusively tech-focused fund, bought a 2.32 % stake in Jio Platforms for INR 11,367 Crores. The deal made it the third high-profile investment in the Reliance Industries Ltd’ (RIL) unit and highlights Jio’s status as a next-generation software and platform company.

This deal valued Jio Platforms at an equity value of Rs 4.91 lakh crore and an enterprise value of Rs 5.16 lakh crore. Vista’s investment is at a 12.5% premium over the deal with Facebook. It will be Vista’s biggest investment outside of its home country and it’s first in Asia. With this deal, Jio has become the fourth most valued entity in India after HDFC Bank, TCS, and RIL.

“In Robert and Brian, whose family hails from Gujarat, I found two outstanding global technology leaders who believe in India and the transformative potential of a digital Indian society. 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.” – Mukesh Ambani, Chairman, Reliance Industries Limited

The investment from Vista will be used by Jio to buy back RIL’s optionally convertible preference shares. The Vista deal will further help in fixing the equity value of Jio and improve RIL’s cash flows. This will accelerate RIL’s deleveraging exercise as RIL plans to eliminate Rs 1.75 lakh crore of net debt by the end of this financial year. Through Jio, Vista hopes to earn good returns as and when the telecom and technology company goes public, which is part of Ambani’s plan.

“Mukesh’s vision as a global pioneer, alongside Jio’s world-class leadership team, has 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, providing modern consumer, small business, and enterprise software to fuel the future of one of the world’s fastest-growing digital economies.” -Robert Smith, Chairman, Vista

General Atlantic and Jio Deal

Billionaire Mukesh Ambani extended his fund-raising streak for Jio Platforms Ltd. by selling a 1.34% equity stake to General Atlantic on May 17. Reliance Industries Limited and Jio Platforms Limited announced an investment of ₹ 6,598.38 crores ($873 Mn) stake by General Atlantic, a leading global growth equity firm that has invested in Airbnb Inc. and Uber Technologies Inc.

This investment values Jio Platforms at an equity value of ₹ 4.91 lakh crore and an enterprise value of ₹ 5.16 lakh crore. The deal will consolidate backing for Jio’s plan to use its almost 400 million mobile phone subscribers as a base for an e-commerce drive to use India’s vast consumer markets—from retail to education and payments. The deal will also support Ambani’s vow to pay down more than $20 billion of net debt at Reliance earlier than an initial March 2021 deadline.

“We are delighted that a renowned global investor like General Atlantic is partnering with us in our journey to digitally empower India and Indians. Jio is committed to making a digitally inclusive India that will provide immense opportunities to every Indian citizen.” -Akash Ambani, Director, Reliance Jio

General Atlantic is a leading global growth equity firm with a 40-year track record of investing in the Technology, Consumer, Financial Services, and Healthcare sectors. It operates across 14 locations as an integrated team under a global investment platform. To date, General Atlantic has invested in prominent entrepreneurs and companies around the world such as Airbnb, Alibaba, Ant Financial, Box, ByteDance, Facebook, Slack, Snapchat, Uber, and other global technology leaders.

KKR & Co. Inc. and Jio Deal

KKR is an American private equity firm and has also been one of the key investors by buying around INR 11367 crores around 2.32% of the stake.

“We are looking forward to leveraging KKR’s global platform, industry knowledge, and operational expertise to further grow Jio.” -Mukesh Ambani, Chairman, Reliance Industries Limited

KKR was founded in 1976 by Henry Kravis and George Roberts and since then has been a prime equity firm of the US market.

“Few companies have the potential to transform a country’s digital ecosystem in the way that Jio Platforms is doing in India, and potentially worldwide.” – Henry Kravis, Chairman, KKR

Mubadala Investment Company and Jio Deal

Striking a deal of Rs 9093.6 crore with the Abu Dhabi based investment company will surely help Reliance Jio to expand its reach towards the gulf countries. It will help them expand their venture globally. While so many US-based firms investing now Abu Dhabi based firms also becoming important investors.

Mubadala Investment Company founded in 2017 in Abu Dhabi, UAE has been one of the key investing companies which have helped in growing up UAE economy on a global front. Investments like these can play a key role in developing Jio hold all around the world.

Abu Dhabi Investment Authority (ADIA) and Jio Deal

Abu Dhabi Investment Authority (ADIA), one of the world’s biggest sovereign wealth funds, will pump Rs 5,683.5 crore into Jio Platforms joining the list of global tech investors that have invested millions of dollars on the Reliance Industries unit due to its unique potential to dominate India’s booming digital economy.

“I am delighted that ADIA, with its track record of more than four decades of successful long-term value investing across the world, is partnering with Jio Platforms in its mission to take India to digital leadership and generate inclusive growth opportunities. This investment is a strong endorsement of our strategy and India’s potential.” -Mukesh Ambani, Chairman, Reliance Industries

The decision by ADIA, a globally-diversified investment institution, in exchange for a 1.16 % stake, is an unprecedented eighth investment in Jio Platforms in less than seven weeks and marks the largest continuous fundraising action by a company anywhere in the world. RIL, the oil-to-retail-to-telecom conglomerate, has now sold a little over 21 % stake in Jio Platforms through a flurry of fundraising deals and raised as much as Rs 97,885.65 crore, or $12.96 billion.

“Our investment in Jio is a further demonstration of ADIA’s ability to draw on deep regional and sector expertise to invest globally in market-leading companies and alongside proven partners.” -Hamad Shahwan Aldhaheri, Executive Director, ADIA

TPG and Jio Deal

TPG Captial is going to invest 4,546.80 Crores for a 0.93% stake in the Jio platform, making it the ninth deal in just a span of seven weeks taking the combined fundraising in the Reliance Industries unit across the 1 lakh crore mark. TPG has previously invested in Companies like Airbnb, Uber and Spotify.

“Today, I am happy to welcome TPG as valued investors in our continued efforts towards digitally empowering the lives of Indians through the creation of a digital ecosystem. We have been impressed by TPG’s track record of investing in global technology businesses which serve hundreds of millions of consumers and small businesses, making the societies we live in better.” -Mukesh Ambani, Chairman, Reliance Industries

In TPG’s more than 25 years of history, it has successfully built an ecosystem made up of hundreds of portfolio companies and a value-added network of professionals, executives and advisors around the world. By offering institutional support and global resources, TPG enables these companies to reach their full potential and unlock greater possibilities.

“We are excited to partner Reliance to invest in Jio. As an investor in growth, change, and innovation for over 25 years – and with a longstanding presence in India — we are excited to play an early role in Jio’s journey as they continue to transform and advance India’s digital economy. Jio is a disruptive industry leader that is empowering small businesses and consumers across India by providing them with critical, high-quality digital services. The company is bringing unmatched potential and execution capabilities to the market, setting the tone for all technology companies to come.” -Jim Coulter, Co-CEO, TPG

L Catterton and Jio Deal

The world’s largest consumer-focused private equity firm L Catterton is going to invest Rs 1,894.50 crore in Jio Platforms for a 0.39% stake in Reliance Jio. With this Reliance, Jio has made a historic record with 10 investments in just seven weeks and has raised INR 104,326.95 Crores from leading global investors since April 22nd, 2020.

“I am delighted to welcome L Catterton as a partner in our journey to unleash the power of digital for India while providing a consumer experience that is among the best in the world. I particularly look forward to gaining from L Catterton’s invaluable experience in creating consumer-centric businesses because technology and consumer experience need to work together to propel India to achieving digital leadership.” -Mukesh Ambani, Chairman, Reliance Industries

L Catterton is a preferred investment partner for several leading consumer-focused brands around the world. Having a 30-year track record of leveraging its operational expertise, deep sector insights, a global network of resources, and its unique partnership with LVMH and Groupe Arnault, L Catterton has successfully invested in and helped build some of the most innovative brands at the forefront of the evolving consumer landscape, including Peloton, Vroom, ClassPass, Owndays, FabIndia, and more.

“Over our more than 30 year history, we have established a track record of building many of the most important brands across all consumer categories and geographies, from retailers, omni-channel and digitally native brands. We are strong supporters of fostering growth through product development, enhanced digital capabilities, and strategic alliances. We look forward to partnering with Jio, which is uniquely positioned to execute on its vision and mission to transform the country and build a digital society for 1.3 billion Indians through its unmatched digital and technological capabilities" -Michael Chu, Global Co-CEO, L Catterton

Saudi Arabia’s PIF and Jio Deal

Saudi Arabia’s wealth fund Public Investment Fund (PIF), one of the world’s largest sovereign wealth funds is all set to pick up a 2.32 per cent stake in Indian oil-to-telecom conglomerate Reliance Industries’ Jio, for an estimated $1.5 billion. With PIF coming on board, Jio Platforms has diluted 25 per cent of its equity. That’s the maximum they intend to dilute to financial investors, which includes Mark Zukerberg’s Facebook. Any new investors coming on board in future will have to be “strategic investors, a tech giant, for instance,” said a source who was part of the deal-making process.

Conclusion

The secret behind Jio’s success is that it’s customer-centric and has a webscale mentality. Reliance Jio made it look easy when it successfully swooped into the jam-packed and super competitive mobile market with free 4G voice and data service. So in short Reliance Jio aims at harnessing the full potential of the internet to create a digital revolution through its technologies. Innovative services and long-term planning will radically bring the world to one’s fingertips much faster and also transform the way Indians think, work, live, and are entertained.

FAQs

Who is the founder of Reliance Industries Limited?

Dhirubhai Ambani is the founder of Reliance Industries Limited.

Who is Mukesh Ambani?

Mukesh Ambani is the managing director of Reliance Industries Ltd.

Who is the richest man in India?

Mukesh Ambani is the richest man in India.

June 17, 2020