Reliance Industries and Facebook Overseas Inc. form joint venture, Reliance Enterprise Intelligence Limited (REIL).
REIL to develop and market enterprise AI services across India.
Reliance holds 70% stake, Facebook owns 30%, with ₹855 crore investment.
Venture highlights Reliance’s growing focus on AI and digital technologies.
Reliance Industries has announced the incorporation of a new joint venture company, Reliance Enterprise Intelligence Limited (REIL) in partnership with Facebook Overseas Inc., a wholly-owned subsidiary of Meta Platforms, Inc., with an aim to develop, market, and distribute enterprise artificial intelligence (AI) services in India.
An investment of ₹2 crore has been made by Reliance Intelligence as the initial subscription for 2 million equity shares of ₹10 each. The new firm, REIL, will operate as a wholly-owned subsidiary of Reliance Intelligence, which will later become the joint venture entity with Facebook under an amended joint venture agreement.
According to an exchange filing, "REIL, incorporated in India as a wholly-owned subsidiary of Reliance Intelligence, will become the joint venture company as per the amended and restated joint venture agreement (“JV Agreement”) with Facebook Overseas, Inc. (“Facebook”), a wholly-owned subsidiary of Meta Platforms, Inc. (“Meta”). REIL will be engaged, inter alia, in developing, marketing and distributing enterprise AI services.”
Under the joint venture agreement, Reliance Intelligence will hold a 70 per cent stake, while Facebook will hold the remaining 30 per cent in REIL, Business Standard reported. An initial investment of approximately ₹855 crore has been committed for the project.
"The transaction does not fall within related party transactions and none of the company’s promoter/ promoter group/ group companies have any interest in the above transaction," the exchange filing further noted.
Additionally, the joint venture will focus on enterprise-level AI solutions, signalling Reliance’s growing interest in next-generation digital technologies.
Further, RIL has clarified that the transaction does not qualify as a related party transaction and that none of its promoters or group companies have any financial interest in the venture.
The conglomerate also stated that no governmental or regulatory approvals were required for incorporating REIL.
