QIA may invest in RIL’s fibre business

The Doha-based fund is in advanced talks with Reliance Industries Ltd to invest up to $2 billion in Jio Digital Fiber.

Sovereign fund Qatar Investment Authority (QIA) is reportedly eyeing a $1.5 billion stake in JioFiber assets. The Doha-based fund is in advanced talks with Reliance Industries Ltd to invest up to $2 billion in an infrastructure investment trust called Jio Digital Fiber that hold RIL’s fibre-optic assets.

Jio Digital Fibre currently has a 700,000 km network of fibre-optic cables in India and plans to expand it to 1.1 million km.

“Fibre network business monetisation falls exactly in line with RIL’s original plan to make Jio become an asset-light digital services company and save significantly on costs as the group is gearing up to offer affordable 5G services. It has an immense revenue generation potential,” a source told Mint.

RIL has hired Citigroup Global Markets, Moelis and Co. and ICICI Securities Ltd for the proposed deal with QIA.

Last year, a consortium led by Canada’s Brookfield Asset Management invested $3.37 billion in an InvIT holding RIL’s telecom tower assets.

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