Even in the midst of lockdown, profit is seen in the fortunes of Reliance Industries. Many US companies are investing heavily in Reliance Group Company Jio Platforms. Now US equity firm KKR has also announced investment of $ 1.5 billion (about Rs 11,367 crore) in Jio platforms.
According to the news agency Reuters, KKR will buy 2.32% stake in Jio platforms from this investment. Earlier within the one month, investments in Reliance Jio platforms have been announced by Facebook Inc, General Atlantic, Silver Lake and Vista Equity Partners. When other companies in the world are struggling to save their existence, Ambani has signed deals with four foreign companies such as Facebook, General Atlantic, Silver Lake and Vista Equity Partner within a few weeks between lockdowns. In fact, Reliance has got a new engine of growth in the form of ‘New Commerce’.
When Ambani set up his ‘New Commerce’ venture in July 2018, he said that it has the potential to redefine India’s retail business and could become a new growth engine for Reliance in the following years. Through this, Reliance will integrate the digital and physical market and exploit the vast network of MSMEs, farmers and grocery shoppers. By entering into a deal with US giant Facebook, the company will take advantage of the wide reach of WhatsApp owned by it and will give a boost to its new commerce business.
Reliance Industries is developing Jio as a digital company, not just a telecom operator, whereas Mukesh Ambani is now insisting on making Reliance a diversified company instead of maintaining a company with energy focus, it should be noted that Reliance Industries entered the retail business in 2006 and the telecom business in 2010.