US-based private equity firm KKR to invest $1.5 billion in Reliance Jio Platforms

KKR invests $1.5 billion in Reliance Jio Platforms

US-based private equity firm KKR announced to invest $1.5 billion (~Rs 11,367 crore) for 2.32% stake in Reliance Jio Platforms on Thursday joining Facebook ($5.7 billion), Silver Lake ($746.8 million), Vista Equity Partners ($1.5 billion) and General Atlantic ($870 million) in India’s largest Telecom company and a subsidiary of Reliance Industries.

Headquartered in New York — KKR (KKR & Co. Inc.) is an American global investment firm that manages multiple alternative asset classes, including private equity, energy, infrastructure, real estate, credit, and, through its strategic partners, hedge funds.

Reliance Jio is the largest telecom network of the country with over 388 million users.

“This investment values Jio Platforms at an equity value of Rs 4.91 lakh crore and an enterprise value of Rs 5.16 lakh crore,” the company said in a statement that remains the same as with investment after General Atlantic.

In the past four weeks, Reliance Jio has announced to sell 17.1% of stake in the firm to Facebook, Silver Lake, Vista Equity Partners, General Atlantic, and KKR for about $10.2 billion (Rs. 78,562 crore).

Jio Platforms is the suite of services including music streaming service JioSaavn, smartphones, broadband business, on-demand live television service JioTV, and payments service JioPay.

After the investment from Facebook, the company started its JioMart e-commerce venture service in India with orders can be placed via Whatsapp that has more than 400 million users in India.