SUMMARY
Vista will be the third-largest investor in Jio Platforms after Reliance and Facebook
Jio Platforms has raised over INR 60.5K Cr in the last three weeks
Silver Lake invested INR 5.6K Cr in Reliance last week
Mukesh Ambani-led Reliance Industries Limited, on May 8, announced that Vista Equity Partners will invest INR 11,367 Cr in Reliance Jio Platforms, which is an umbrella company for all its digital services.
With this investment, Vista will get a 2.32% equity stake in Jio Platforms on a fully diluted base, making it the largest investor in Jio Platforms, after Reliance Industries and Facebook. The investment values Jio platform at an equity value of INR 4.91 Lakh Cr, and an enterprise value of INR 5.16 Lakh Cr.
Jio Platforms has raised close to INR 60,596.37 Cr from technology investors like Facebook, Silver Lake, and Vista in the last three weeks. Facebook acquired a 9.99% stake in Jio Platforms with its INR 43,574 Cr ($5.7 Bn) investment, whereas Silver Lake has invested INR 5,655 Cr at an equity value of INR 4.90 Lakh Cr and an enterprise value of INR 5.15 Lakh Cr.
US-based Vista focusses on software, data and technology-enabled companies. The investment firm has more than $57 Bn in cumulative capital commitments, and its global network of companies collectively represent the fifth largest enterprise software company in the world, as per the Bombay Stock Exchange (BSE) filing.
Currently, Vista has invested in over 60 companies from across the globe, which includes AGDat, Eagleview, Kazoo, Upside and Greenway. The portfolio companies have a presence in India as well with over 13,000 employees.
Commenting on the investment, Reliance Industries’ chairperson and MD Ambani said, “I am delighted to welcome Vista, one of the world’s marquee tech investors globally as a valued partner. Like our other partners, Vista also shares with us the same vision of continuing to grow and transform the Indian digital ecosystem for the benefit of all Indians. They believe in the transformative power of technology to be the key to an even better future for everyone.”
Meanwhile, Robert F. Smith, founder, chairman and CEO of Vista, said, “We are thrilled to join Jio Platforms to deliver exponential growth in connectivity across India, providing modern consumer, small business and enterprise software to fuel the future of one of the world’s fastest-growing digital economies.”
Reliance Industries is looking to use these investments for digital transformation of the Indian market. The company believes that comprehensive digitisation will prove to be a vital component to revitalise the Indian economy. Jio says it wants to ensure that no individual is deprived of the “tremendous” new opportunities, employment, and businesses arising out of India’s 360-degree digital transformation.
