IIFL Institutional Equities in a recent report said the move, which involves transferring telecom venture Reliance Jio's debt to parent balancesheet, should make digital platform "increasingly attractive to potential strategic investor".
Reliance Industries Ltd (RIL) last week announced it will set up a new subsidiary to bring all its digital initiatives and apps under a single entity, and infuse Rs 1.08 lakh crore equity into this new unit.
The new structure will also create the largest digital services platform company in India. The new entity will continue to work on technologies in areas like healthcare and education, while also looking at next-gen competencies like artificial intelligence, Blockchain, virtual and augmented reality, among others.
It will also bring into its fold Reliance's consumer-focussed digital offerings like MyJio, JioTV, JioCinema, JioNews and JioSaavn, while enabling Reliance Jio to become "virtually net debt free" by March 31, 2020 (excluding spectrum liabilities).
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