Reliance Can Sell 6% To Google Or Microsoft: Which Company Will Grab A Share In Jio?
Mukesh Ambani’s Reliance Jio has raised almost ?1 lakh crore (almost $13 billion) amidst the pandemic resultant global lockdowns with 8 investments in 7 weeks.
In April, Facebook, the social media giant bought 9.99% stake in Reliance Jio, India’s largest telecom network with an early focus on leveraging the latter’s e-commerce platform JioMart.
While the next investment from Saudi Arabia’s sovereign Public Investment Fund is almost finalised, Reliance Jio gets to pick between Google and Microsoft for the last tranche of investments, two sources in the know told Business Insider.
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Google Or Microsoft To Invest In Reliance Jio!
Google is still looking for an investment opportunity with Reliance Jio. Sources told Business Insider that it is still fighting for a spot that is also being considered by Microsoft.
The sources said, “It will be either Google or Microsoft in the last tranche. Reliance Jio will have to reject one. Google or Microsoft will be investing for a 6% stake. It has to make business sense. Google has been pursuing them from the same time as Facebook.”
Jio has already raised ?97,885.65 crore by giving away 21% stake in the company.
With the latest investment, Jio platforms has an equity value of Rs 4.91 lakh crore and an enterprise value of Rs 5.16 lakh crore.
What Is Brewing In The Indian Telecom Sector?
On the other hand, Google is also reportedly in talks with Vodafone Idea for a minority stake. Google’s interest in Vodafone had rallied the stocks of the telecom unicorn. The stock has doubled since the first report came on May 29.
Meanwhile, Amazon too is reportedly in talks with Airtel for an investment. However, Airtel has denied the development.
We will keep you updated!