Asia’s Richest man Mukesh Ambani Scores $8 billion within a three week

Asia’s Richest man Mukesh Ambani Scores $8 billion within a three week

“Nobody can stop you until you want.” Asia’s Richest Man Mukesh Ambani is the best example of it. He is on the mission to make the Reliance Jio debt-free despite the pandemic or lockdown.

Ever since The World Health Organization declared CoVID-19 a global pandemic, all over the world businesses are in crisis. While the chairman of Reliance Mukesh Ambani is on roll. On Friday, he proclaimed that U.S. tech fund Vista Equity partner is going to buy a 2.3% stake of JIO. This is the third investment that the JIO telecom industry has got less than 3 weeks, raising a total of 8 billion dollars for a cumulative 13.5% stake.

It begins with a bang when the biggest social network Facebook made an announcement to acquire a 9.99% stake of Reliance Jio on April 22, 2020.  And recently this week, US-based private equity firm Silver Lake Partners agreed to buy over a 1% stake of JIO platform for $748 million. While Vista’s investment also values Reliance Jio at the same amount as Silver Lake at $65 billion- a 12.5% premium to the Facebook deal.

Now Ambani (The chairman and managing director of Reliance) has a net worth of 56 billion dollars, mentioned in the announcement that he got in Robert Smith and Brian Sheth,

“In Robert and Brain, whose family hails from Gujarat, I found two outstanding global technology leaders who believe in India and the transformative potential of Digital Indian Society. We are excited to leverage in India and the transformative potential of Digital Indian Society. We are excited to leverage the professional expertise and multi-level support that Vista has been offering to its Investments globally for the benefit of Jio,” he added

He also said that we were “Thrilled” to Join Jio, where it would give “Modern consumer, small business and enterprise software to fuel the future of one of the world’s fastest-growing digital economics.”

Vista is one of the best leading global investment firms that invest in different sectors like software enterprise, data, and tech aided companies with over $57 Billion In cumulative capital commitments. Vista’s portfolio comprises Indian companies when they support a non-profit organization called the Akshaya Patra Foundation, which offers millions of meals to India’s school children.

At the time Jio has more than 388 million subscribers that make it the fastest-growing telecom industry ever in India. During the time, Reliance oil and petrochemicals are dealing, in such cases, Jio has become boon for the Reliance industry. Today, Reliance’s total annual revenue raised by 5% to $87.4 billion, and it reported a net benefit of $5.3 billion in the fiscal year ended March 2020.

As per Forbes, Ajay Bodke CEO and Chef portfolio manager of Prabhudas Lilladher has mentioned “The String of marquee investors eager to onboard the world’s most exciting digital transformation initiative, Jio, is only going to get longer over time,”

“What is particularly noteworthy is that these investors are globally recognized as leaders in emerging technologies.”

Rajiv Sharma, head of equity research at SBICAP Securities has said, usually, Vista invests in mid-market tech organization that provides software-as-a-service product, something that can be used by local shops that Jio, with the help of its E-commerce Marketplace JioMart, is collaborating with to make their billing and inventory great as well as for local advertising campaign.

Sharm also has added that JioMart’s product and their vision are increasable, which is why this investment cannot surprise at all. For Vista, it is the right decision.

As Ambani has already said that, the company had a “very clear roadmap to becoming a zero net debt company by March 31, 2021.” It has said while addressing the company’s 42nd annual general meeting on Aug 12, 2019. Seeing such kinds of investments back to back, look like Mukesh Ambani will get rid of this heavy debt burden.