Reliance hikes stake in US-based transport company SkyTran to 26.3%

Reliance Strategic Business Ventures Limited (RSBVL), a wholly-owned subsidiary of Mukesh Ambani-led Reliance Industries, has increased its stake in US-based transport company SkyTran Inc to 26.31 per cent.

On November 7, 2019, RSBVL had acquired 17.37 per cent shareholding in SkyTran Inc. on a fully diluted basis. SkyTran is a venture-funded technology firm developing modern transport modes including personal rapid transit system.

In an exchange filing, RIL informed that RSBVL had acquired convertible notes in two tranches, the first one on November 29 last year and the second one on March 23 this year which got converted into shares of SkyTran Inc on April 27 upon certain conditions being satisfied.

"Consequent upon this, the shareholding of RSBVL in SkyTran Inc. stood increased to 26.31 per cnt on a fully diluted basis," RIL said in a filing to the Bombay Stock Exchange.

Also Read: RIL's JioMart rolls out WhatApp-based online portal amid lockdown; here's how to order

The oil-to-telecom conglomerate said that no regulatory approvals were required in India for the acquisition of shares. "The investment does not fall within related party transaction and none of the company's promoter, promoter group, group companies have interest in SkyTran Inc," it added.

Reliance has made the investment in SkyTran with the aim to foster an exclusive partnership in India, where it would work closely with SkyTran to develop pilot implementations followed by implementation of its network in India at scale. Reliance would play an active role in advancing the SkyTran solution, especially in telecom (4G/5G/IoT/Giga Fiber), digital platforms and services, advanced materials and electric batteries.

Also Read: JioMart-WhatsApp grocery service to reinvent kiranas

Meanwhile, shares of Reliance Industries closed Wednesday's trade at Rs 1,442.55 apiece as compared to the previous close of Rs 1,428.10 on the BSE. The stock hit an intraday high of Rs. 1,453.05 and intraday low of 1,420.50.