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Mukesh Ambani's group firm Reliance Jio Infocomm has raised $750 million (Rs 4,800 crore) that will be used to finance goods and services from Samsung Electronics and Ace Technologies Corp for its infrastructure rollout.
R-Jio is expected to roll out its fourth-generation (4G) mobile services in June.
"Reliance Jio Infocomm Ltd has signed a $750 million loan backed by Korea Trade Insurance Corporation (K-sure) on May 7, 2015. The loan is guaranteed by Reliance Industries Limited (RIL) and will primarily be used to finance goods and services procured from Samsung Electronics and Ace Technologies Corp, which are being sourced for the infrastructure rollout of R-Jio," R-Jio said in a statement.
The loan has 12 years of repayment time. This is the second round of financing for R-Jio from Korean export credit agencies (ECAs) and the third overall between the group and Korean ECAs in three years.
This is the first facility by K-sure with R-Jio and its largest deal in India, but is the second facility by K-sure with the Reliance group that includes RIL and RJio, the statement said.
The facility is funded by nine relationship banks of Reliance, including The Hongkong and Shanghai Banking Corporation, Australia and New Zealand Banking Group, Banco Santander SA, The Bank of Tokyo-Mitsubishi UFJ, JPMorgan Chase NA, Mizuho Bank, and Sumitomo Mitsui Banking Corporation, ING Bank and DZ Bank AG.
