At the standalone level, where the debt is likely to increase, the company said: “It (the new capital structure) does not impact RIL’s standalone credit profile, given its robust cash flows and conservative leverage.”
The digital platform company with negligible leverage makes a compelling investment proposition for both strategic and financial investors, said the company.
With completing most of Jio’s capital expenditure, tower and fibre passive infrastructure assets of approximately Rs 1.25 trillion were demerged from Jio in March this year to infrastructure investment trusts (InvITs). After this demerger, Jio has become asset-light, having a balance sheet size of Rs 2.37 trillion, said RIL. The company said in a statement that Jio’s platform business included MyJio app, OTT platform JioTV, OTT platform Jio Cinema, news
platform JioNews, and music-streaming platform JioSaavn.
Over 2018-19, RIL made strategic investments in start-ups such as pharma software provider C-Square, citizen SaaS provider EasyGov, AI learning platform Embibe, retail solution provider Fynd, logistics platform Grab, AI assistant platform Haptik, music streaming platform Saavn, deep tech start-up Tesseract, and vernacular language platform Reverie.
These get transferred to the wholly-owned subsidiary.
RIL has made significant investments in global tech start-ups such as DEN, Hathway, Eros International Plc, Edcast, Karexpert Technologies, Vakt Holdings, Indiavidual Learning Pvt. Ltd, Radisys Corp, and Kai OS Technologies.