Reliance Jio-ADIA deal: 5 things you need to know

Earlier this week, Silver Lake decided to invest an additional sum of ₹4,546.80 crore in Jio Platforms following an investment of ₹5,655.75 crore the firm invested last month. The news came shortly after Mubadala Investment Company (Mubadala) invested ₹9,093.60 crore in Jio platforms. Now, the company has announced that the Abu Dhabi Investment Authority (ADIA) is investing a sum of ₹5,683.50 in Jio Platforms.

“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 of Reliance Industries said in a statement.

Here are five key things that you should know about Reliance Jio’s latest deal:

1. This is the eighth investment in Jio Platforms in about seven weeks.

2. The Reliance Jio-ADIA deal values Jio Platforms at an equity value of ₹4.91 lakh crore and an enterprise value of ₹5.16 lakh crore.

3. ADIA’s investment will translate into a 1.16% equity stake in Jio Platforms on a fully diluted basis.

4. Morgan Stanley acted as financial advisor to Reliance Industries and AZB & Partners, and Davis Polk & Wardwell acted as legal counsel.

5. With this investment, Reliance Jio’s Jio Platforms has raised a total of ₹97,885.65 crore from various global investors including Facebook, Silver Lake, Vista Equity Partners, General Atlantic, KKR and Mubadala among others.