Silver Lake to invest additional Rs 4,546 crore in Reliance's Jio Platforms

Private equity firm Silver Lake has invested an additional Rs 4,546.80 crore in Reliance Industries' digital arm Jio Platforms to raise its stake in the firm to 2.08 per cent. Reliance Industries in a statement said with this, aggregrate investment by Silver Lake in Jio Platforms will be Rs 10,202.55 crore.

Mumbai: Reliance Industries Limited and Jio Platforms Limited on Friday announced that Silver Lake and its co-investors will invest an additional ₹ 4,546.80 crore in Jio Platforms, in addition to the ₹ 5,655.75 crore of investment by Silver Lake announced on May 4, 2020.

This brings the aggregate investment by Silver Lake and its co-investors to ₹ 10,202.55 crore. Silver Lake’s investment values Jio Platforms at an equity value of ₹ 4.91 lakh crore and an enterprise value of ₹ 5.16 lakh crore, and will translate into a 2.08% equity stake in Jio Platforms on a fully diluted basis.

Investments in Reliance's Jio Platforms (Source: Reliance Jio)

With this investment, Jio Platforms has raised ₹ 92,202.15 crore from leading technology investors in less than six weeks.

Commenting on the aggregate investment brought by Silver Lake, Mukesh Ambani, Chairman and Managing Director, Reliance Industries Ltd, said, “Silver Lake and its co-investors are valued partners as we continue to grow and transform the Indian digital ecosystem for the benefit of all Indians. We are pleased to have their confidence and support, as well as the benefit of their leadership in global technology investing and their valued network of relationships, as we drive the Indian Digital Society’s transformation."

"I would like to emphasise that Silver Lake’s additional investment in Jio Platforms, within a span of five weeks during the COVID-19 pandemic, is a strong endorsement of the intrinsic resilience of the Indian economy, which will surely grow bigger with comprehensive digital enablement,” he added.

Commenting on the investment, Egon Durban, Silver Lake Co-CEO and Managing Partner, said, “We are excited to increase our exposure and bring more of our co-investors into this opportunity, further supporting Jio Platforms in its mission to bring the power of high-quality and affordable digital services to a mass consumer and small businesses population."

"The investment momentum behind Jio validates a compelling business model and underscores our admiration for Mukesh Ambani, his team and their courageous vision in creating and building one of the world’s most remarkable technology companies.”