May 18, 2020 - Economy

General Atlantic's Jio Platforms deal is a bet on India's digital transformation

Dan Primack

illustration of a cable wire — Illustration: Aïda Amer/Axios

General Atlantic agreed to invest $870 million into Jio Platforms, the telecom and tech subsidiary of Indian conglomerate Reliance Industries, at a $65 billion valuation.

Why it matters: Jio is the world's largest mobile provider in the world's second-largest country, with around 35% market share and 400 million subscribers. It also is General Atlantic's largest-ever investment in Asia, despite a long history in the region.

This is Jio's fourth major investment in the past month, following infusions from Facebook ($5.7b), Silver Lake ($750m) and Vista Equity ($1.5b). Expect a few more deals to be announced shortly, with Jio to go public in a couple of years.

The bottom line: Investors are betting on Jio being the infrastructure for India's shift to digital, and becoming a local mobile champion in a country dominated by foreign players like Facebook/WhatsApp and Google.

Go deeper: Andreessen Horowitz adds General Atlantic vet

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General Atlantic's Jio Platforms deal is a bet on India's digital transformation

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