Jio, under the leadership of Mukesh Ambani, has conveyed its interest in acquiring a share in the government-owned telecommunications company in Sri Lanka.
The leading contenders expressing interest in acquiring a share of Sri Lanka Telecom PLC, a government-owned telecommunications firm, consist of Jio Platforms led by Mukesh Ambani. In an announcement from the Sri Lankan government on January 12, it was disclosed that Jio Platforms, along with Gortune International Investment Holding Ltd and Pettigo Comercio International LDA, are the top three bidders for Sri Lanka Telecom PLC. According to the Wall Street Journal (WSJ), the market capitalization of Sri Lanka Telecom PLC is estimated to be around Rs 4000 crore.
Mukesh Ambani consistently seizes opportunities for business expansion, and Reliance Industries has a track record of active participation in major deal competitions. Currently, Ambani has turned his attention to the Sri Lankan telecom company PLC. As reported by Business Today on November 10, 2023, Sri Lanka extended an offer to acquire a stake in the government-owned telecom company PLC.
In the race for a stake in Sri Lankan Telecom Company PLC, Jio Platforms, Global Telecommunications Holdings of Amsterdam, and Pettigo Comercio International LDA are the three contenders. Presently, the government holds a 49.5 percent ownership stake, while Global Telecommunications Holdings of Amsterdam possesses 44.9 percent of the company.
Having established dominance in the Indian telecom sector, Jio is contemplating the acquisition of a share in a government-owned telecommunications company, which could potentially pave the way for an expansion of its telecom services into adjacent markets.
Renowned as a prominent telecommunications company in India, Reliance Jio Infocomm operates under the chairmanship of Akash Ambani, the son of Mukesh Ambani. Statista reports that in FY23, Reliance Jio generated revenue amounting to Rs 119,700 crore.
Source: DNA
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