Reliance Might Sell Another 8% Stake in Jio Platforms After Silver Lake Deal

Reliance Industries Limited (RIL) might use the equity valuation done by Facebook and Silver Lake Partners to offer an additional 10 % stake of the company to financial investors

Recently, Silver Lake invested Rs 5,655.75 Crore in Jio Platforms and acquired 1.15% Stake in the company. However, BofA research stated that Reliance Industries might offer another 8% stake in Jio Platforms. Reliance Industries earlier marked that they have been getting attraction from global companies for a 10 % stake in Jio Platforms. The instant messaging platform giant Facebook acquired a 9.99% stake in Jio Platforms by investing Rs 43,574 crore. It is expected that the deal between Facebook and Jio turned out to be useful for approximately 60 million small businesses in India.

Silver Lake Valued Reliance Jio at Rs 5.15 Lakh Crore

Silver Lake Partners acquired 1.15% stake by investing Rs 5,655.75 crore in Jio Platforms. However, Silver Lake Partners valued the digital unit of Reliance Industries Limited (RIL) at Rs 5.15 lakh crore. Whereas instant messaging platform giant Facebook valued Reliance Industries at Rs 4.62 lakh crore. Reliance Industries Limited on the Silver Lake sale stated that the investment valued Jio Platforms at an equity value of Rs 4.90 lakh crore and an enterprise value of Rs 5.15 lakh crore and it represents a 12.5% premium to the equity valuation done by the Instant messaging platform giant Facebook for acquiring 9.99 % stake. This news is reported by IANS.

RIL Will Reduce Future Jio IPO for Raising Cash

As the Indian law suggest a free float capital must be approximately $17 billion, Reliance Industries Limited (RIL) use the latest Silver Lake Valuation of Rs 5.15 Lakh crore and Rs 4.90 Lakh crore Facebook Valuation to reduce the need of future Jio IPO for raising cash. Also, using the equity valuation done by Facebook and Silver Lake Partners, RIL can take other financial investors who could own 10% of the company.

Reliance-Facebook Deal Will Open Multiple Opportunities for JioMart

The effect of Facebook-Jio deal is already visible on the Reliance owned JioMart. The grocery app was available on WhatsApp at some areas of Mumbai. It is also expected that once WhatsApp gets all the necessary permissions, JioMart will be available of on Facebook-owned platform WhatsApp across India. Also, the Reliance-Facebook deal will help 60 million small businesses operating in India.

Shrijan loves the process of creating content in various verticals, whether it be words, sounds or videos. He's also inclined towards digital marketing and tech industry developments. The art of creation always intrigues his interest.

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