Investors Betting Big On Jio Platforms’ Future

Reliance Industry’s Jio has raised $10 billion from global investors in a short span of six weeks. Jio has been a quick gain of subscribers even since it has been launched and this has only grown in the pandemic times. Mukesh Ambani’s Jio is emerging as a winner to make changes in the way Indian consumers plug into a digital economy, which has only been given a boost by the pandemic.

Reliance has recently penned a deal with Facebook for 9.99% stake in its Jio business which also gives the Indian conglomerate the advantage to leverage to use it to launch grocery ordering service via WhatsApp. Another business that Jio will venture into is the theatre business, not that they don’t have enough businesses in the space already, but the company is preparing a same-day launch platform. This platform will help people watch movies from the comfort of their homes without going out in public, especially suited for those who avoid going to crowded places.

Reliance has raised $10 billion in the past six weeks which includes $5.7 billion from Facebook and private equity firms like Silver Lake, General Atlantic, KKR & co., and Vista Equity Partners. Last year Reliance announced that it was consolidating its digital offerings around $65 billion. The move also put Jio on the eventual goal that Mukesh Ambani described last year, a listing that would would be a milestone for his efforts. This has set Reliance in the path to becoming a company that would be called the ‘everything company’  form set-top boxes to e-commerce and home automation.

KKR’s co-founder Henry Kravis in announcing his investment commented “Few companies have the potential to transform a country’s digital ecosystem in the way that Jio platforms if doing in India.

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