Reliance Jio Platforms (Jio Platforms), a subsidiary of Reliance Industries (RIL), is selling 1.15 per cent stake to private equity (PE) firm Silver Lake for Rs 5,655.75 crore. The investment — the second in a fortnight – highlights its focus on new commerce business and will help it pare debt.
According to Sanchit Vir Gogia, CEO of Greyhound Research the deal will ensure the ability of Jio to keep prices low for its services – and this means additonal pressure for Bharti Airtel.
“Silverlake will try to emulate with Jio the success it has had with its investment in Alibaba Group that eventually went public extremely successfully in 2014. Silverlake also allows Jio Platforms access to its portfolio – for example JioSecurity already uses Norton as a partner to offer cybersecurity offerings,” he added.
Sanchit Vir Gogia: Sanchit is the Chief Analyst, Founder & CEO of Greyhound Research, a Global, Award-Winning, Technology & Innovation Research & Advisory firm. To read more about him, click here.
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