Facebook to acquire $5.7bn stake in India's Reliance Jio
Topics: FACEBOOK INDIA RELIANCE JIO
The INR 435.7 billion ($5.7 billion) deal allows the social media and advertising company to increase its foothold in India, its largest market. The transaction is subject to regulatory and other customary approvals.
"This is the largest investment for a minority stake by a technology company anywhere in the world and the largest [foreign direct investment] in the technology sector in India," Jio said in a statement. "The investment values Jio Platforms amongst the top five listed companies in India by market capitalization, within just three and a half years of launch of commercial services."
Launched in September 2016, Jio currently has over 388 million users, after the division of Reliance Industries offered radically low mobile data prices - a move that also left the company deeply in debt and in need of investment. ■