Reliance industries and Facebook today announced the deal signed between them with Facebook investing Rs.43,574 crores in the Jio platforms. With this investment, Jio platforms are being valued by Facebook at Rs.4.62 lakh crores pre-money enterprise value(approximately 65.95 billion dollars in the US money). With this investment, Facebook now owns 9.99% equity in the Jio platforms.
The Jio platforms are a subsidiary of Reliance Industries, which comprises of the digital services of the group. Reliance Jio Infocomm is a completely owned Reliance platform which has around 388 million customers currently.
Jio has created a world-class digital platform with technologies like Broadband connectivity, Smart Devices, Cloud and Edge computing, Big Data Analytics, Artificial Intelligence, Augmented Reality, Internet of things, and Blockchain.
Jio has developed an eco-system with affordable tariffs for all the individuals to enjoy the benefits provided by the company.
The partnership between Facebook and Jio is the largest investment by the any technology company in the world for a minority stake and the largest FDI in the Indian technology sector. In a statement, it is said that the investment ranks Jio among the top 5 companies in India within just 3 and a half years of being launched.
Mukhesh Ambani has said that while launching Jio in 2016 they were driven by the dream of India’s Digital Survodaya to improve the quality of life of every individual in the country. He also said that all of the members at Reliance are humbled to welcome Facebook as their long term partner.
The company said that with this partnership between Facebook and Reliance, they can achieve the digital India dream of Prime Minister Modi’s. Morgan Stanley as the financial advisor, AZB & Partners, and Davis Polk & Wardwell as the counsels participated in this successful deal.