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Reliance AGM: Google to invest ₹33,737 crore for 7.7% stake in Jio Platforms, says Mukesh Ambani
Investors from across the world, including Facebook and KKR, have already put in $15.64 billion (roughly ₹1.17 lakh crore) for just over 25% in Jio Platforms.
Search engine giant Google will buy a 7.7% stake in Reliance Industries Limited’s Jio Platforms for ₹33,737 crore, in the second investment by a US tech company after Facebook Inc, RIL’s chairperson and managing director Mukesh Ambani said on Wednesday.
“We are delighted to welcome Google as a strategic investor in Jio Platforms. We have signed a binding partnership and an investment agreement under which Google will invest ₹33,737 crore for a 7.7% stake in Jio Platforms,” Ambani said at the company’s annual general meeting (AGM).
Mukesh Ambani, world’s sixth-richest person, said this takes the cumulative fundraising by Reliance in less than three months to ₹212,809 crore.
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Before this, investors from across the world, including Facebook and KKR, have already put in $15.64 billion (roughly ₹1.17 lakh crore) for just over 25% in RIL’s digital arm Jio Platforms.
This includes ₹53,124 crore rights issue and investment by BP in fuel retailing venture.
“It is in excess of our net debt of ₹1,61,035 crore at the end of FY19-20,” he said.
“Reliance is now truly a zero net debt company, well ahead of my goal of March 2021. It has an extremely strong Balance Sheet that will support growth plans for its three hyper-growth engines—Jio, Retail and O2C,” he said.
“Reliance has concluded its JV with BP in the existing fuel retailing business. BP has invested ₹7,629 crore for their 49 per cent stake in the JV,” he said.
Google also said it would spend around $10 billion (roughly ₹75,000 crore) in India over the next five to seven years through equity investments and tie-ups, in its biggest commitment to a key growth market.
RIL is holding its 43rd AGM virtually for the first time amid the ongoing coronavirus pandemic with shareholders from 500 locations in India and abroad joining in.
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