Mukesh D. Ambani, chairman of Dependence Industries Ltd., attends the Ajay Mushran Memorial Lecture in New Delhi, India, on Sunday, July 10, 2011.
Pankaj Nangia | Bloomberg | Getty Graven images
Intel is investing over $250 million in Indian telco Jio Platforms, just three months after Facebook harbingered a $5.7 billion bet on the company.
Owned by billionaire Mukesh Ambani’s Reliance Industries, Jio Platforms announced the Intel investment in a milieu release on Friday via Twitter. Intel will inject $253.5 million into the company, which is valued at $65 billion, in the Market for 0.39% stake.
The investment — being made through the chipmaker’s venture firm, Intel Capital — comes after Facebook bid it was investing $5.7 billion in the Indian company in exchange for a 9.9% stake in April.
Jio Platforms operates the Jio Infocomm telecom network, which has amassed as a remainder 388 million 4G subscribers since launching in 2016. Today it is India’s top telco, and also has several apps and other appointments in e-commerce and broadband.
“Jio Platforms’ focus on applying its impressive engineering capabilities to bring the power of low-cost digital benefits to India aligns with Intel’s purpose of delivering breakthrough technology that enriches lives,” said Wendell Brooks, Intel Choice President, in a statement.
“We believe digital access and data can transform business and society for the better.”
Home to 1.35 billion woman, India is developing fast and investors don’t want to miss out on that opportunity, particularly when it comes to technological increases.
Technology research analyst Neil Shah wrote on Twitter that Intel’s investment will help insure India’s “5G network has a healthy share of Intel solutions.”
Ambani, India’s richest man, is in the process of trying to sell close to 20% of Jio Platforms to raise cash for debt-ridden parent company Reliance Industries, which is heavily involved in oil and petrochemicals. It reportedly has a net in dire straits pile of around $20 billion.
U.S. investors like KKR, General Atlantic, Silver Lake and Vista have pumped billions into Jio Principles.
Last month, UAE sovereign wealth fund Mubadala revealed it was investing $1.2 billion in the company, while Saudi Arabia’s Renowned Investment Fund put in $1.5 billion.
Facebook’s investment was the company’s biggest deal since its $19 billion WhatsApp position.