Jio Financial Board Approves $1.8B Founder Fundraising

Jio Financial Services Ltd., part of Mukesh Ambani's Reliance Group, is planning to raise up to ₹15,830 crore ($1.8 billion) through a preferential issue of equity warrants to its promoters, including Ambani family entities, which would increase their stake from 47.12% to over 51%. The board approved issuing 50 crore convertible warrants at ₹316.50 per share, convertible within 18 months, subject to regulatory approvals. This capital raise aims to strengthen Jio Financial's balance sheet and support its expansion in the financial services sector. The company has seen significant growth, with total income rising 48% year-on-year to ₹619 crore and net profit increasing 4% due to higher interest income, although expenses have also surged, driven by finance and employee costs. Jio Financial has also partnered with BlackRock to launch fund management services, recently attracting ₹17,800 crore in new fund offers. These moves underscore Ambani's strategy to deepen Reliance's footprint in India's shadow banking and financial services industries.