Saudi Arabia’s PIF invests ₹11,367 cr in Jio Platforms

Mumbai: Reliance Industries Ltd (RIL) will raise ₹11,367 crore more by selling a 2.32% stake in Jio Platforms to Saudi Arabia’s Public Investment Fund (PIF).

The sovereign wealth fund will be the 10th to pick up stake in RIL’s telecom and digital business in nine weeks, taking the total to ₹1.16 lakh crore for a 24.70% holding. The latest investment pegs Jio Platforms’ equity value at ₹4.91 lakh crore and enterprise value at ₹5.16 lakh crore, Reliance said in a statement on Thursday.

Funds coming from stake sales in Jio Platforms and the ₹53,124 crore from a rights issue will help lower Reliance’s consolidated net debt significantly from ₹1.61 lakh crore at the end of FY20.

Reliance is now well-placed to meet its zero net debt target by March 2021, analysts said. Brokerage JP Morgan, in a report, said major stake sale cycle in Jio Platforms “is likely done for now.”