Reliance Industries Chairman Mukesh Ambani has announced that Google will be picking a 7.7% stake in Jio Platforms for Rs 33,737 crore, joining the likes of Facebook, Intel and Qualcomm. Ambani made the announcement during the company’s 43rd Annual General Meeting. This, Google CEO Sundar Pichai said, would be the biggest and first investment of Google's India Digitisation fund of Rs 75,000 cr.
This will be the end for the current cycle of capital raising for Jio Platforms. In the last few months, Jio Platforms has raised Rs 1,52,056 crore from 13 investors.
Announcing all the investors in Jio Platforms, Ambani said that Facebook was a premier strategic partner. Further, he added some of the most admired technology and financial investors globally — Silver lake, L Catterton, Vista Equity Partners, General Atlantic, KKR and TPG — have invested in Jio Platforms. “All of them have a long history of successfully investing in the best of technology and growth enterprises in the world,” Ambani said.
Introducing Intel and Qualcomm, Ambani said that the two companies shaped the teleconductor industry and are at the heart of digital ecosystems. “We will work with them to develop new products for India and Indians,” he added.
He also introduced the three sovereign wealth funds that have invested — Abu Dhabi-based Mubadala, Abu Dhabi Investment Authority and Saudi Arabia’s Public Investment Fund.
The first in line was Facebook, who picked up a 9.99% stake. Since then, KKR picked up 2.32%, the Public Investment Fund of Saudi Arabia (2.32%), Vista Equity Partners (2.32%), Silver Lake Partners (2.08%), Mubadala Investment Company (1.85%), General Atlantic (1.34%), Abu Dhabi Investment Authority (1.16%), TPG Capital (0.93%), L Catterton (0.39%), Intel Capital (0.39%), Qualcomm (0.15%) and now Google with 7.7%, taking the total to 13 investors holding 32.94% in Jio Platforms.
With the investment in Jio Platforms, BP’s 49% stake fuel retail network (which it paid for Rs 7,629 crore for) and RIL’s rights, issue, Reliance has raised Rs 2,12,089 crore, which Ambani unprecedented in the history of capital markets in India.