Shares of
Reliance Industries, the parent company of Reliance
Jio, saw its shares drop by 0.91% to Rs 1453.70 in early morning hours on BSE on Monday, in line with a broader market selloff.
The drop came despite the news that US private equity firm Silver Lake will invest Rs 5,655.75 crore in Jio
Platforms for a 1.15% stake at an equity value of Rs 4.90 lakh crore.
The benchmark Sensex plunged by more than 4% in Monday morning trading hours.
"
Reliance Industries Limited and Jio Platforms Limited announced today that Silver Lake will invest Rs 5,655.75 crore into Jio Platforms. This investment values Jio Platforms at an equity value of Rs 4.90 lakh crore and an enterprise value of Rs 5.15 lakh crore and represents a 12.5% premium to the equity valuation of the
Facebook investment announced on April 22, 2020," RIL and Jio in a joint statement said Monday.
Jio Platforms is a wholly-owned subsidiary of RIL focussed on next-generation technologies. Reliance Jio Infocomm, which provides connectivity platform to over 388 million subscribers, will continue to be a wholly-owned subsidiary of Jio Platforms.
The deal came less than two weeks after Facebook announced a $5.7 billion investnment into the unit.