Jio Financial Services

Jio Financial Services Limited
FormerlyReliance Strategic Investments Private Limited (1999–2002)
Reliance Strategic Investments Limited (2002–2023)
TypePublic
ISININE758E01017
Founded22 July 1999 (1999-07-22)
FounderMukesh Ambani
HeadquartersMumbai, Maharashtra
Area served
India
Key people
OwnersAmbani family (47.12%)[1]
SubsidiariesAllianz Jio Reinsurance
Jio Finance
Jio Insurance Broking
Jio Payment Solutions
Jio Leasing Services[2]
Jio Payments Bank (77%)
Websitewww.jfs.in www.jiofinance.in

Jio Financial Services Ltd (JFSL) is an Indian financial services company, based in Mumbai. Originally a subsidiary of Reliance Industries (RIL), it was demerged as an independent entity and listed on the Indian stock exchanges in August 2023.[3]

The company provides financial services, including payment services and insurance broking.[4][5] Its subsidiary Jio Finance holds an NBFC license from the RBI. Another subsidiary, Jio Payments Bank, is also a payments bank registered in India.

History

Jio Financial Services was initially a financial services subsidiary of Reliance Industries. In July 2023, it was spun-off via a demerger,[3] with shareholders of Reliance Industries receiving one equity share of Jio Financial Services for every share they held in Reliance.[6] Reliance Industries transferred ₹15,500 crore (US$1.6 billion) of cash and liquid investments to Jio Financial Services as part of the demerger scheme. This gave Jio Financial Services a liquid asset base of ₹20,700 crore (US$2.1 billion).[7]

JFSL was listed on the stock exchanges on 21 August 2023. Following the demerger and listing, JFSL was briefly a part of Nifty 50, BSE SENSEX and FTSE indices, but was removed from these indices over the following weeks as it did not meet their inclusion criteria.[8][9][10]

In July 2023, JFSL entered the asset management company (AMC) business, by forming a 50:50 joint venture with BlackRock called Jio BlackRock.[11] In April 2024, JFSL and BlackRock announced a partnership in wealth management and broking business.[12]

In May 2024, JFSL launched JioFinance, an app with digital payments, loans and insurance offerings.[13]

In March 2026, the reinsurance service “Allianz Jio Reinsurance Limited,” operated jointly with Allianz, began operations.[14]

In August 2026, Jio Financial Services entered into a joint venture agreement with Bank of America, which agreed to invest ₹18,268 crore to acquire up to a 49.9% stake in its subsidiary, Jio Credit Limited.[15]

Controversies

In 2024, Jio Financial Services established a subsidiary called Jio Leasing Services Ltd, an unrelated leasing services business.[16] The subsidiary signed a $4.4 billion deal with another promoter-owned company, Reliance Retail for leasing routers.[17]

References

  1. ↑ "Jio Financial Services shares: JFS arm gets CARE's stable rating on bank facilities". Business Today. 1 July 2024. Retrieved 27 September 2024.
  2. ↑ Kayastha, Anshika (15 July 2024). "After loans against MFs, Jio Financial eyes LAP, loans against securities". Mint. Retrieved 27 September 2024.
  3. 1 2 Gohel, Ankit (18 August 2023). "Jio Financial Services to be listed on stock exchanges on August 21". mint.
  4. ↑ "Banking & Financials: Jio Financial Services: Decoding the unknown". indiainfoline.com.
  5. ↑ "Jio Financial Services to provide simple, affordable solutions: Mukesh Ambani". Business Today. 6 August 2023.
  6. ↑ Jauhari, Ujjval (20 July 2023). "Reliance demerger: Jio Financial Services valued at ₹261.85". mint. Archived from the original on 23 August 2023. Retrieved 16 February 2024.
  7. ↑ "Reliance Industries shifts Rs 15,500 crore to Jio Financial Services". 24 July 2023.
  8. ↑ "Jio Financial Services to be removed from BSE Indices from September 1". Moneycontrol. 31 August 2023. Archived from the original on 16 February 2024. Retrieved 17 February 2024.
  9. ↑ Livemint (24 August 2023). "Why Jio Financial Services shares are hitting lower circuit everyday - Explained". mint. Archived from the original on 26 August 2023. Retrieved 16 February 2024.
  10. ↑ "The index fund attack on Jio Financial Services is over. Almost". Finshots. 4 September 2023. Archived from the original on 2 October 2023. Retrieved 16 February 2024.
  11. ↑ Narayanan, KS Badri (4 August 2023). "Interesting times ahead for AMC business with the entry of Jio BlackRock". BusinessLine.
  12. ↑ Singh, Manish (15 April 2024). "Jio Financial, BlackRock to tap India's wealth management market". TechCrunch. Retrieved 27 September 2024.
  13. ↑ Singh, Manish (30 May 2024). "Ambani fires opening salvo in Indian fintech race with JioFinance". TechCrunch. Retrieved 1 June 2024.
  14. ↑ "Allianz Jio Reinsurance Limited commences operations | Allianz". Allianz.com. Retrieved 9 April 2026.
  15. ↑ https://www.reuters.com/business/finance/bofa-invest-19-billion-499-stake-jio-financial-nbfc-unit-2026-08-12/
  16. ↑ "Jio Financial Service to enter equipment leasing segment". India Infoline. Retrieved 27 June 2024.
  17. ↑ "Jio Financial Services arm plans Rs 36K crore deal with Reliance Retail". Business Standard. Retrieved 27 June 2024.
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