Timeline of Jio Deals
On 22nd April, 2020 Facebook invested 43,753.64 Cr in Jio for 9.99% stake.
On 3 rd May, 2020 Silver Lake Partners invested 5655.75 Cr in Jio for 1.15% stake.
On 8 th May, 2020 Vista Equity Partners invested 11,367 Cr in Jio for 2.32% stake
On 17th May, 2020 General Atlantic invested 6598.38 Cr in Jio for 1.34% stake.
On 22nd May, 2020 KKR invested 11,367 Cr in Jio for 2.32% stake.
On 5th June, 2020 Mubadala invested 9093.60 Cr in Jio for 1.85% stake.
On 5th June, 2020 Silver Laker Partners invested an additional 4546.80 Cr in Jio for 0.93% stake, total stake of 2.08%
On 7 th June, 2020 ADIA invested 5683.50 Cr in Jio for 1.16% stake.
On 13th June, 2020 TPG invested 4546.80 Cr in Jio for 0.93% stake.
On 13 th June, 2020 L Catterton invested 1894.50 Cr in Jio for 0.39% stake.
On 18th June, 2020 Saudi PIF invested 11,367 Cr in Jio for 2.32% stake. -On 3rd July, 2020 Intel Capital invested 1894.50 Cr in Jio for 0.39% stake.
On 12th July, 2020 Qualcomm invested 730 Cr in Jio for 0.15% stake.
On 15th July, 2020 Google invested 33,737 Cr in Jio for 7.73% stake
These deals amount to 1,52,235.47 Cr for 34.12% stake and Reliance Rights Issue raised 53,124 Cr, a net total of 2,05,359.47 Cr in 88 days making Reliance debtfree much before original deadline of March 31st, 2021. Now,
Reliance is the most valued company in India (by market cap of 1,292,425.20 Cr) and 51st most valued company in the world! Google and Facebook had a discount on Jio stake compared to other companies as they bring on-board their own technology, whereas financial investors had to pay a premium of 12.5%
Facebook – Jio Deal
JioMart will rely on WhatsApp Pay for digital transactions and also for creating a portal to link kirana shops to customers.
Google – Jio Deal
Google will be providing Operating System for Jio Phone to bring digital evolution in India. During Reliance’s 43rd AGM, Mukesh Ambani introduced the new Jio Glass (AR powered).
Jio’s investments in start-ups:
Tesseract: Reliance Group bought 92.70% stake in the deeptech startup on May, 2019. It has launched three hardware and two software products in the Mixed Reality (MR), Augmented Reality (AR), Virtual Reality (VR) spaces labelled as Methane, Holoboard and the Quark. The startup works independently post acquisition and have claimed seven patents (one US, three international and three Indian), it will be working with Jio to develop Jio Glass and Jio HoloBoard.
Sankhaya Sutra: Reliance Group bought 83% stake in the DeepTech startup for 16.02Cr on March, 2019. The start-up helps stimulate solutions to industrial problems virtually, and removes the need to conduct costly physical experiments. It is a High-Computing software simulation that offers various manufacturing and industrial services. Reliance is further looking to invest 200 Cr by 2021.
Saavn: Jio Music and Saavn merged on April, 2019 to strengthen their value in Indian music streaming market, in this merger valuation was pegged a $ 1 B with Jio Music valued at $ 670 M and Saavn valued at $ 330 M. Reliance also acquired a partial stake in Saavn from its existing shareholders for $104 M. Reliance group to invest rupee equivalent of $ 100 M for growth and expansion of the platform.
Reverie: Reliance invested 190 Cr for an 83.30% stake in this tech powered enterprise startup on February, 2019. It enables real-time delivery of online content in multiple Indian languages. Reliance is further looking to invest 77 Cr by May 2021
Netradyne: Reliance invested 57.5 Cr on September, 2018 and 115 Cr on June, 2016 for an acquisition of 37.4%. This AI powered logistic startup has Reliance investing YOY basis. Their flagship product Driveri aims to alert fleet managers and drivers about any emergency on road via a drone. On any anomalous behaviour it sends videos to the cloud for further analysis.
Haptik: This is the biggest investment so far by Reliance group on any DeepTech startup. Reliance acquired the entire company (100% stake) for 700 Cr on March, 2019. The startup lets customers chat with their voice assistants to complete daily tasks such as online shopping, travel bookings etc. Reliance will leverage Haptik’s capabilities to enhance consumer’s journey over a market opportunity of 1 B users in India.
Grab: Reliance invested 107 Cr for 83% stake on March, 2019 in Logistic start-up. Grab provides on-demand, reverse deliveries, first mile and lastmile logistics. It has McDonalds, Big Basket, Myntra, Amazon, Swiggy as its clients. Reliance is planning to invest upto 40Cr for complete acquisition by March 2021.
Fynd: Reliance invested 295 Cr for 87.60% stake on August, 2019 in Ecommerce startup on August, 2019. It optimises the delivery time by sourcing products from the outlets nearest to the customer. It has 8000 outlets on board for about 500 clients. The startup is backed by Google, Kae, IIFL, and GrowS, through RIL Holdings further investment of 100 Cr is being considered.
Embibe: Reliance Group had invested 1293.6 Cr in EdTech startup for 72.69% stake on April, 2018. The startup provides learning-based derivatives by AI based data analytics. Reliance will further invest $ 180 M by 2021 to connect over 1.9 M schools and 58K universities across India with a common platform.
EasyGov: Reliance group had invested 18 Cr for 76% stake on February, 2019. It is a Software as a Service (SaaS) startup that enables citizens to search and apply for various government services and schemes from a single platform. By March, 2021 Reliance Industrial Investments and Holdings (RIIHL) will further invest 50 Cr.
C-Square: Reliance Group had invested 22.04 Cr for 82% stake on March, 2019. This start-up provides various range of software solutions with specific focus on pharma sector. RIIHL is most likely to invest 60 Cr by March, 2021.
NowFloats: RIL Group acquired 85% controlling stake of NowFloats for 141.63 Cr on December, 2019. It helps local businesses to come as an online platform. Other solutions include local content discovery platform, online business management suite, website promotion, marketing solutions, and various other offerings for SMEs.
Asteria Aerospace: Reliance acquired 51.78% stake for 23.12 Cr on December, 2019 in drone startup. It is a full stack drone tech startup that intends to deliver “drone as a service” digital platform.
Reliance Jio’s investments in these startups will help them to achieve their goal of becoming the King of Online Retail Business and creating a powerful digital ecosystem. Thus, pushing India forward towards their Make in India vision while strengthening the economy and inducing a platform for local and MSME business to compete globally.
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