Facebook Adds Jio as Friend by Investing Rs 43,574 Crore for 9.99% Stake

Published by
Bala Yogesh

Reliance Industries, Jio Platforms and Facebook on Wednesday announced the signing of an agreement for an investment of Rs 43,574 crore (US$5.7 billion) by Facebook into Jio Platforms. The investment from Facebook into Jio Platforms will translate to a 9.99% equity stake. Jio Platforms, a wholly owned subsidiary of Reliance provides digital services and currently connects over 388 million subscribers through its Reliance Jio platform. In a release, it was highlighted that the investment by Facebook “is the largest investment for a minority stake by a technology company anywhere in the world.” Further, the investment is said to be the largest foreign direct investment(FDI) in the technology sector in India.

Facebook,Reliance Jio,Reliance Retail,JioMart,Jio Platforms,Reliance,India,WhatsApp

Jio Platforms Now Amongst Top 5 Listed Companies in India

While the transaction is subjected to regulatory and other customary approvals, the investment values Jio Platforms amongst the top five listed companies in India by market capitalization. Further, Reliance said that the feat was achieved within three and half years of launch of commercial services.

“All of us at Reliance are therefore humbled by the opportunity to welcome Facebook as our long-term partner in continuing to grow and transform the digital ecosystem of India for the benefit of all Indians,” Mukesh Ambani, chairman and managing director of Reliance Industries, said in the release. “The synergy between Jio and Facebook will help realise Prime Minister Shri Narendra Modi’s ‘Digital India’ Mission with its two ambitious goals — ‘Ease of Living’ and ‘Ease of Doing Business’ – for every single category of Indian people without exception.”

It was also announced that Jio Platforms, Reliance Retail and WhatsApp have entered into a commercial partnership to further accelerate the Reliance Retail’s new commerce business on the JioMart platform using WhatsApp. The partnership intends to support small businesses on WhatsApp with the companies said to work closely to ensure consumers can access services of the small kiranas by transacting seamlessly with JioMart using WhatsApp.

Reliance and Facebook to Focus on 60 Million Small Businesses Across India

In a separate release, Facebook said that its focus on the collaboration with Reliance Jio would be for creating new paths for people and for “businesses to operate more effectively in the growing digital economy.”

The company highlighted that its goal is to enable new pathways for businesses of all sizes but with special focus on the 60 million small businesses across India.

“They account for the majority of jobs in the country, and form the heart and soul of rural and urban communities alike,” Facebook said in the release. “In the face of the coronavirus, it is important that we both combat this global pandemic now, and lay the groundwork to help people and businesses in the years to come.”

Bala Yogesh

Born in India, Yogesh loves to travel and has lived in multiple countries including New Zealand and Canada. His bylines can be found on various newspapers and blogs throughout the world, including Vancouver Sun, Surrey Now-Leader, Daily Hive , Investing News Network and Rach F1.

Published by
Bala Yogesh

Recent Posts

Airtel Becomes First to Launch 4G in Kaksar, Border Village of Kargil District

Bharti Airtel, India’s second largest telecom operator, has become the first company to launch 4G…

Tech Mahindra and Axiata to Develop 5G Solutions for Enterprises in Five Countries

Tech Mahindra, a leading Indian company in providing digital solutions and consulting has announced that…

Vodafone Idea is Going to Remove Extra Data Offer Tomorrow

Vodafone Idea (Vi), India's third-largest telecom service provider, is soon going to remove the extra…

Jio 4G was Down for Many Users in India this Morning, But Restored Now

Reliance Jio, India's largest telecom operator, gave a slight shock to its users earlier this…

Reliance Jio 5G SA: What General Public Needs to Know

Reliance Jio is going to be India's first significant telecom operator to establish 5G standalone…

Airtel 5G is Available in Four Airports and Several Cities Now: Check

Airtel has expanded its 5G Plus services. Since launching its 5G network in early October,…

BSNL Rs 298, Rs 319, Rs 347 and Rs 395 Plans Come with Weird Validities

The state-run telecom company in India goes by the name Bharat Sanchar Nigam Limited (BSNL).…

Google Updates Gmail, Sheets and More with New Features

Google has announced that it is updating its Workspace apps with new features. According to…

Samsung Galaxy S23 Series Could be Much Better than iPhone 14 Devices: Here’s Why

Android and iOS compete for market share in smartphones. On the other hand, in addition…