Reliance closes deal with 4 investors, gets ₹30,062 crore

Marco Green
July 13, 2020

This is the 12th investor to pick up a stake in Reliance Industries Ltd' (RIL's) telecom and digital business in less than two months.

Qualcomm Ventures, the investment arm of Qualcomm Incorporated, an industry leader in wireless technologies, has committed to invest up to Rs 730 crore in Jio Platforms.

A person familiar with the matter at one of the 12 firms that has backed Reliance Jio Platforms said that the Indian firm is also enticing as globally companies are trying to cut down their reliance and exposure on China. With over 35 years of history in technology innovation, Qualcomm can help Jio Platforms scale new heights in terms of its role in revolutionising India's technology landscape.

" Qualcomm has been a valued partner for several years and we have a shared vision of connecting everything by building a robust and secure wireless and digital network and extending the benefits of digital connectivity to everyone in India", said Mukesh Ambani, chairman and managing director for Reliance Industries. The investment will deepen the ties between Qualcomm and Jio, RIL said.

The company, controlled by Mukesh Ambani, the world's eighth richest person, has so far mobilised Rs 1.18 lakh crore by selling 25.24% in Jio to 11 worldwide investors, with the largest slice sold to Facebook. Qualcomm said it will help Jio Platforms "roll out advanced 5G infrastructure and services for Indian customers".

It received an investment of Rs 1,894.50 crore from Interstellar Platform Holdings (L Catterton), Rs 11,367 crore from The Public Investment Fund, Rs 10,202.55 crore from SLP Redwood Holdings and SLP Redwood Co-Invest (Silver Lake) and Rs 6,598.38 crore from General Atlantic Singapore JP Pte Ltd.

On Tuesday, Facebook Inc-owned Jaadhu Holdings LLC paid the subscription amount of ₹43,574 crore to Jio Platforms Ltd for a 9.99% stake in the latter. The deal was approved by the Competition Commission of India on 24 June. Mumbai-based RIL has now raised a combined Rs 118,318.45 crore from some of the world's leading tech investors in the largest fundraising exercise by a company anywhere in the world and during a global lockdown at that.

Morgan Stanley acted as financial advisor to Reliance Industries and AZB & Partners and Davis Polk & Wardwell acted as legal counsels. Trilegal acted as legal counsel for Qualcomm Ventures.

Other reports by Click Lancashire

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