Jio Platforms

Jio Platforms is an Indian technology company and a subsidiary of Reliance Industries Limited, headquartered in Mumbai, India. Established in 2019, Jio Platforms acts as a holding company for India's largest mobile network operator Jio and other digital businesses of Reliance.[2]

Not to be confused with Jio.

Jio Platforms
TypeSubsidiary
Founded2019 (2019)
FounderMukesh Ambani
HeadquartersMumbai, Maharashtra,
India
Area served
India
Key people
Anant Ambani (Director)[1]
OwnersReliance Industries Limited (67.03%)

Strategic Investors (18.26%)

Private Equity Firms (9.38%)

Sovereign Wealth Funds (5.33%)
ParentReliance Industries Limited
Subsidiaries
Websitewww.jio.com

On 8 May 2020, Jio Platforms was reported to be the fourth largest Indian company by market capitalization.[3] Since April 2020, Reliance Industries has raised ₹152,056 crore (US$21 billion) by selling 32.97% equity stake in Jio Platforms.[4]

History

In October 2019, Reliance Industries Limited (RIL) announced the creation of a wholly owned subsidiary for its digital businesses including Jio. In November 2019, the subsidiary was named Jio Platforms. The ₹1.08 trillion (US$15 billion) liability of Jio was transferred to RIL and in turn RIL received preferential shares of Jio Platforms.[5][6] According to some observers, the restructuring was done to keep the digital businesses of the group within a debt-free entity.[7]

In April 2020, Facebook acquired a 9.99% stake in Jio Platforms for ₹435.74 billion (US$6.1 billion).[8] According to this deal, while Jio Platforms retained ₹149.76 billion (US$2.1 billion), the parent company got the remaining ₹285.98 billion (US$4.0 billion) for redeeming the optionally convertible preference shares it held in the subsidiary.[7]

In May 2020, private equity firm Silver Lake Partners obtained a 1.15% stake with a ₹56.5575 billion (US$790 million) investment in the company.[9] But unlike the previous transaction, the entire investment in this case was retained by Jio Platforms.[7] General Atlantic then announced that it would invest ₹65.988 billion (US$930 million) in Jio Platforms for a 1.34% stake in the company.[10] American PE firm KKR acquired a 2.32% stake in Jio Platforms for ₹113.67 billion (US$1.6 billion).[11]

In June 2020, Emirati sovereign fund Mubadala confirmed that it would acquire a 1.85% stake in the company for ₹90.936 billion (US$1.3 billion).[12] Silver Lake increased its stake to 2.08% with an additional ₹45.47 billion (US$640 million) investment.[13] Abu Dhabi Investment Authority then bought a 1.16% stake in the company for ₹56.84 billion (US$800 million).[14] On 13 June, TPG Capital, an investment company, took stake in Reliance Industries subsidiary Jio platform of 0.93% worth ₹45.468 billion (US$640 million).[15]

Catterton also made an investment of ₹18.945 billion (US$270 million) for a 0.39% stake.[16]

In June 2020, Saudi Arabia's sovereign fund PIF confirmed that it would acquire a 2.32% stake in the company for ₹113.67 billion (US$1.6 billion).[17] In July 2020, United States's Tech Giant Intel confirmed that it would acquire a 0.39% stake in the company for ₹1.89 billion (US$26 million).[18]

In July 2020, Another United States' Tech Giant company Qualcomm confirmed that it would acquire a 0.15% stake in the company for ₹.730 billion (US$10 million).[19]

This was followed by Google purchase of 7.7% stake in the company for ₹337.37 billion (US$4.7 billion).[20]

Businesses
  • Jio, telecommunications and broadband services
  • Jio Apps
    • MyJio[21]
    • JioTV, live TV streaming app, launched on 5 September 2016
    • JioCinema, video-on-demand app[22]
    • JioSaavn, an online music streaming service[23]
    • JioChat, messaging app[24]
    • JioMeet, video-conferencing platform[25]
    • JioPages, web browser[26]
    • JioSwitch, file sharing app[27]
    • JioNews, newspaper and magazine app[28]
    • JioHome, mobile remote control for Jio set-top box[29]
    • JioGate, apartment security app[30]
    • JioCloud, cloud storage services[31]
    • JioSecurity, security app[32]
    • JioHealthHub, health companion[33]
    • JioPOS Lite, Jio recharge commission earning app[34]
    • JioGameslite, online gaming[35]
  • JioMoney, digital currency and payments services[36]
  • JioMart, online grocery delivery services (partnership with Reliance Retail)[37]

Acquisitions and investments
This list is incomplete; you can help by adding missing items with reliable sources.

RIL has acquired or invested in several companies, which are now under Jio Platforms:[38]

Name Type Amount Stake
Haptik AI-based conversational platform US$100 million[39] 87%
Embibe AI-based educational platform US$180 million 72.69%
Radisys[40] Telecommunication technology US$75 million 100%
Reverie language technologies Ltd Vernacular chatbot & Speech Technologies US$35 million 83.3%
Grab-a-Grub Delivery services US$30 million 83%
Fynd Analytics US$15 million 87%
EasyGov Citizen convenience services US$10 million 83%
Asteria Aerospace Drone technology US$3.3 million 51.78%
Netradyne AI services 37.4%
Tesseract Mixed Reality IN₹10.12 crore 92.7%
SankhyaSutra Labs Simulation Services 83%[41]

Valuation

In May 2020, the enterprise value of Jio Platforms was estimated to be ₹5.15 trillion (US$72 billion).[42] The company was also reported to be more valuable than all other businesses of RIL put together.[43] Its market capitalization put it fourth on the list of largest Indian companies, behind RIL (combined entity), Tata Consultancy Services and HDFC Bank.[3]

See also

References
  1. Rounak Jain (26 May 2020). "Mukesh Ambani's youngest son Anant Ambani who said "Reliance meri jaan hai" joins Jio Platforms as Director". businessinsider.in. Business Insider. Retrieved 26 May 2020. Anant Ambani, the youngest son of Mukesh Ambani, has joined Jio Platforms as director.
  2. Kalyanaraman, Anand. "The financial engineering behind the Great Jio Fund-raise". Business Line. Retrieved 31 January 2021.
  3. "RIL gains 4% after Vista Equity's investment in Jio Platforms: Know more about the deal". CNBC TV18. Retrieved 8 May 2020.
  4. "Google to invest Rs 33,737 crore for a 7.7 per cent stake in Jio Platforms - The Economic Times". The Economic Times. Retrieved 15 July 2020.
  5. "RIL to create ₹1.08-lakh-cr digital giant". The Hindu Business Line. Retrieved 8 May 2020.
  6. "RIL's new digital unit christened Jio Platforms Ltd". The Hindu Business Line. Retrieved 8 May 2020.
  7. "RIL Raises Nearly Rs 50,000 Crore From Jio Platforms Deals With Facebook, Silver Lake". BloombergQuint. Retrieved 8 May 2020.
  8. "Facebook to buy 9.99% stake in Reliance Jio platforms for $5.7 billion". Hindustan Times. Retrieved 8 May 2020.
  9. "Private equity firm Silver Lake to invest Rs 5,655.75 crore in Reliance Jio Platforms". Economic Times. Retrieved 8 May 2020.
  10. "General Atlantic to invest Rs 6,598.38 crore in Jio Platforms". The Economic Times. 18 May 2020. Retrieved 27 May 2020.
  11. Tripathi, Dhirendra (22 May 2020). "KKR to buy 2.32% Jio Platforms stake for ₹11,367 crore". Livemint. Retrieved 27 May 2020.
  12. "Mubadala to buy 1.85% stake in Jio Platforms for ₹9093.6 crore". The Hindu. Retrieved 4 June 2020.
  13. "Second mega Jio deal in a day: Silver Lake to invest additional ₹4,547 crore". Livemint. Retrieved 7 June 2020.
  14. "Jio Platforms Sells Rs 5,684-Crore Stake To Abu Dhabi Investment Authority". Bloomberg Quint. Retrieved 7 June 2020.
  15. "TPG to invest Rs 4547 cr in Jio Platforms for 0.9% stake; ninth deal by Jio in less than 2 months". CNBC TV18. Retrieved 17 July 2020.
  16. "Jio-L Catterton deal: After TPG, L Catterton becomes 10th investor in Jio Platforms in historic fundraising by RIL unit". Money Control. Retrieved 17 July 2020.
  17. "Saudi Arabia's Public Investment Fund to buy 2.32% stake in Jio Platforms for ₹11367 crore". Money Contol. Retrieved 18 June 2020.
  18. "Intel-Jio deal: US semiconductor giant to invest Rs 1,894.5 crore in RIL unit". Money Contol. Retrieved 17 July 2020.
  19. "RIL hits record high as Qualcomm invests Rs 730 crore in Jio Platforms; m-cap crosses Rs 12 lakh crore". MoneyControl. Retrieved 15 July 2020.
  20. "Google to Invest Rs 33,737 Crore in Jio Platforms for 7.7% Stake, Mukesh Ambani Announces at RIL AGM". News18. Retrieved 15 July 2020.
  21. "MyJio App - Manage Jio Account & Services Online". Jio.com. 16 July 2020. Retrieved 16 July 2020.
  22. "JioCinema app: How to use, features and everything related to know". India Today. 16 July 2020. Retrieved 16 July 2020.
  23. "JioSaavn releases multi-platform experience with living search, elevated podcasts, and video experience". Radio And Music. 16 July 2020. Retrieved 16 July 2020.
  24. "JioChat messaging app now available on Android, iOS: Here's how to download and use it". India Tv News. 16 July 2020. Retrieved 16 July 2020.
  25. "Jio to launch video conferencing platform JioMeet to take on Google Meet, Zoom". Livemint. 1 May 2020. Retrieved 19 June 2020.
  26. "Jio Browser Launched for Android, Features Support for 8 Indian Languages". Gadgets360. 16 July 2020. Retrieved 16 July 2020.
  27. "Jio के इस ऐप से चुटकियों में ट्रांसफर करें फोटो और वीडियो, जानें कैसे करता है काम". News18 Hindi. 16 July 2020. Retrieved 16 July 2020.
  28. "Reliance Jio launches JioNews, a one-stop platform for newspapers, magazines". Hindustan Times. 1 May 2020. Retrieved 16 July 2020.
  29. "Download Jio Home Mobile App for your home remote control". Youth Apps. 16 July 2020. Retrieved 16 July 2020.
  30. "Jio to Launch Apartment Security Service Called Jio Gate, Official Apps Listed Online". Gadgets360. 16 July 2020. Retrieved 16 July 2020.
  31. "What is Reliance Jio Cloud Storage in Hindi". Techno2hindi. 16 July 2020. Retrieved 16 July 2020.
  32. "Know about JioSecurity, how to install it on Android device". India Today. 16 July 2020. Retrieved 16 July 2020.
  33. "Reliance Jio launches new medical and fitness app 'JioHealthHub' for the health conscious". India Today. 16 July 2020. Retrieved 16 July 2020.
  34. "Reliance Jio launches JioPOS Lite app that lets you earn commission on every recharge". Firstpost. 15 July 2020. Retrieved 15 July 2020.
  35. "Jio Games features announced at Reliance AGM 2019". BGR. 15 July 2020. Retrieved 15 July 2020.
  36. "Jio Platforms Primed to Play Pivotal Role in Indian Tech Space with Recent Investments". News18. 18 May 2020. Retrieved 27 May 2020.
  37. "JioMart app makes debut on Google Play Store for Android users". The Times of India. 18 July 2020. Retrieved 18 July 2020.
  38. "Valuation of Jio's digital business expected to improve, say analysts". Business Standard. Retrieved 8 May 2020.
  39. "Reliance Jio arm acquires 87% in AI chatbot firm Haptik Infotech". Livemint. Retrieved 3 April 2019.
  40. "RELIANCE INDUSTRIES TO ACQUIRE RADISYS". Radisys. Retrieved 16 July 2020.
  41. "To boost e-comm play at bottom, RIL acquires Reverie, EasyGov and Sankhya Sutra Labs". Entrackr. Retrieved 4 March 2019.
  42. "What makes Jio Platforms command a ₹5 trillion valuation". Livemint. Retrieved 8 May 2020.
  43. "Jio Platforms now more valuable than rest of RIL businesses put together". Business Standard. Retrieved 8 May 2020.


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