Facebook‘s $5.7 billion investment in Jio Platforms has received a nod from the country’s antitrust watchdog, the Competition Commission of India (CCI).
ET had reported earlier this month that Facebook had floated a new Delaware, US-incorporated entity called Jaadhu Holdings LLC, that is expected to acquire a minority 9.99% stake in Jio Platforms Ltd.
In its submission to CCI, Facebook and the Reliance Industries unit had told the Commission that the proposed transaction does not alter the competitive landscape and that Facebook and Jio Platforms would continue to operate independently.
@CCI_India approves acquisition of 9.99% stake in Jio Platforms by Jaadhu Holdings LLC.
— CCI (@CCI_India) 1592998714000
Jio Platforms, Facebook-owned instant messaging service WhatsApp Inc and Reliance Retail Ltd have also entered into a separate commercial agreement.Read: How Facebook is logging into the Reliance Jio ecosystem
After Facebook’s investment, Jio Platforms went on to raise a total Rs 1.15 lakh crore from a clutch of private equity firms and sovereign wealth funds. Overall, Reliance raised about Rs 168,818 crore in two months, including the country’s largest rights issue of Rs 53,124.20 crore.
Following this fundraise, the company declared itself as debt-free, delivering on a promise made to the company’s shareholders in August last year. Reliance Industries will be holding its first even virtual annual general meeting on July 15.
Read: Mukesh Ambani says after ‘unprecedented’ fund raising, RIL working to close Aramco deal
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