Abu Dhabi backed ADIA picks up 1.16% stake in Jio Platforms

The stake sale in Jio Platforms is refusing to slow down as global investors continue to pick up minority stake’s in it. Abu Dhabi backed Abu Dhabi Investment Authority (ADIA) has now become the 7th global investor to pick up a minority stake in Jio Platforms raising investments in Jio Platforms upto Rs 97,885.65 crores in less than 7 weeks.

ADIA has picked up a 1.16% equity stake in Jio Platforms on a fully diluted basis which amounts to Rs 5,683.50 crore and values Jio Platforms at an equity value of Rs 4.91 lakh crore and an enterprise value of Rs 5.16 lakh crore.

The stake sale in Jio Platforms now stands at 21.06% with Facebook, Silver Lake, Vista Equity Partners, General Atlantic, KKR, Mubadala and ADIA picking up minority stakes. Silver Lake remains the lone investor to pick up stakes over two separate transactions.  

Facebook has acquired the largest minority stake at 9.99%, followed by Vista Equity Partners and KKR at 2.32%. Silver Lake has a 2.08% stake, Mubadala has 1.85% stake, General Atlantic at 1.34%, and ADIA at 1.16% having the smallest minority stake.

“I am delighted that ADIA, with its track record of more than four decades of successful long-term value investing across the world, is partnering with Jio Platforms in its mission to take India to digital leadership and generate inclusive growth opportunities. This investment is a strong endorsement of our strategy and India’s potential.”

Mukesh Ambani, Chairman and Managing Director of Reliance Industries

As with all the other stake sales, Morgan Stanley was the financial advisor for Reliance Jio with AZB & Partners, and Davis Pol & Wardwell acting as the legal counsel. The transaction remain subject tor regulatory and customary approvals.

Hamad Shahwan Aldhaheri, Executive Director of the Private Equities Department at ADIA, said: “Jio Platforms is at the forefront of India’s digital revolution, poised to benefit from major socioeconomic developments and the transformative effects of technology on the way people live and work. The rapid growth of the business, which has established itself as a market leader in just four years, has been built on a strong track record of strategic execution. Our investment in Jio is a further demonstration of ADIA’s ability to draw on deep regional and sector expertise to invest globally in market leading companies and alongside proven partners.”