Reliance bags $850m investment for Jio Platforms from TPG and L Catterton

Reliance Industries has bagged two more investments for its digital services platform Jio Platforms, totaling about INR 64 billion ($850 million) in separate deals with global alternative asset firm TPG and L Catterton, a consumer-focused private equity firm.

TPG has agreed to invest INR 45.46 billion ($600 million) in Jio Platforms for a stake of 0.93%. On the other hand, L Catterton is taking a stake of 0.39% for INR 18.94 billion ($250 million).

The investment from TPG will be done through its TPG Capital Asia, TPG Growth, and TPG Tech Adjacencies (TTAD) funds. The transaction is subject to the meeting of preceding conditions.

Jim Coulter – Co-CEO of TPG said: “We are excited to partner Reliance to invest in Jio. As an investor in growth, change, and innovation for over 25 years – and with a longstanding presence in India — we are excited to play an early role in Jio’s journey as they continue to transform and advance India’s digital economy. Jio is a disruptive industry leader that is empowering small businesses and consumers across
India by providing them with critical, high-quality digital services. The company is bringing unmatched potential and execution capabilities to the market, setting the tone for all technology companies to come.”

The equity value of the Reliance Industries business is INR 4.91 lakh crore with an enterprise value of INR 5.16 lakh crore.

Following the two investments, Jio Platforms has now raised a total of INR 1,024.32 billion ($13.49 billion) from Facebook, Silver Lake, Vista Equity Partners, General Atlantic, KKR, Mubadala, ADIA, L Catterton, and TPG.

Michael Chu – Global Co-CEO of L Catterton said: “Over our more than 30 year history, we have established a track record of building many of the most important brands across all consumer categories and geographies, from retailers, omni-channel and digitally native brands. We are strong supporters of fostering growth through product development, enhanced digital capabilities and strategic alliances.
“We look forward to partnering with Jio, which is uniquely positioned to execute on its vision and mission to transform the country and build a digital society for 1.3 billion Indians through its unmatched digital and technological capabilities.”

The investment from L Catterton is subject to receipt of regulatory and other customary approvals.