Mumbai. Mukesh Ambani's Jio Financial Services Limited has signed a big deal with Bank of America to expand its financial services business. Under the joint venture agreement signed on August 12, 2026, NB Holdings, a subsidiary of Bank of America, will acquire a total of 49.9 percent stake in Jio Credit Limited. For this, Bank of America will invest about 1.9 billion dollars i.e. about ₹ 18,168 crore. With this deal, the valuation of Jio Credit is about 2.5 times its net worth. The special thing is that it has been only about two years since Jio Credit started.
What did Mukesh Ambani say?
Mukesh Ambani said that to make India a developed economy by 2047, a financial system is necessary which is reliable and inclusive, working on a large scale. He said that Jio Financial is committed to making financial services easier for Indians through technology and better governance. According to him, the combination of Bank of America's global expertise and Jio's digital reach will help expand credit access in India.
First 26.5% stake, then investment will reach 49.9%
Under the agreement, NB Holdings will first purchase 4.29 crore equity shares of Jio Credit through a preferential issue. About ₹6,613 crore will be paid for this. With this, Bank of America will initially get 26.50 percent stake.
After this, NB Holdings will invest about ₹11,655 crore for 7.56 crore warrants. These warrants can be converted into equity shares within 18 months. After conversion of warrants, Bank of America's stake will increase to 49.90 percent.
A huge business was established in just 2 years
Jio Credit is an NBFC company of Jio Financial Services. It provides different types of loans to the customers. The company has built a huge business in a very short time. In about two years, its assets under management have reached ₹30,667 crore, i.e. about $3.2 billion. The company's focus is on providing loans digitally and increasing credit access in India.
What results will this partnership bring?
The partnership aims to combine Jio Financial's strong digital reach and local market understanding in India with Bank of America's global financial expertise. Both the companies will work on digital financial services, new credit products, risk management and increasing access to credit to customers.
Both companies have equal stake in the board
After the deal, Jio Financial Services and Bank of America will get equal representation on the board of Jio Credit. However, the company's existing management team will continue to drive its day-to-day operations and strategy. Jio Credit will continue as a financial reporting subsidiary of Jio Financial Services.
Bank of America also excited about India
Bank of America Chairman and CEO Brian Moynihan described India as one of the important developing markets in the world. He said Jio Financial has achieved remarkable scale in just two years. Combining Bank of America's global reach and digital expertise with Jio Financial's market hold and customer base can help expand access to financial services in India.