Reliance Industries Ltd., on Saturday announced the formal incorporation of a new joint venture with Meta Platforms, Inc.’s subsidiary Facebook Overseas, Inc. This move is to focus on developing, marketing, and distributing enterprise AI services, according to the filing.
The new entity, named Reliance Enterprise Intelligence Ltd., or REIL, was incorporated on Oct. 24, as per a regulatory filing by Reliance Industries. REIL will operate as a joint venture between Reliance Intelligence Ltd., a wholly-owned subsidiary of RIL, and Facebook Overseas, Inc. Facebook Overseas is a wholly-owned subsidiary of Meta.
The agreement establishes a clear ownership structure which is that Reliance Intelligence will hold the majority stake of 70%, with Facebook holding the remaining 30%.
The initial commitment for the venture is substantial, with both Reliance Intelligence and Facebook jointly pledging an investment of approximately Rs 855 crore. This investment is aimed at capitalising REIL, which has been incorporated in India.
Reliance Intelligence contributed to the initial capital by subscribing to 20,00,000 equity shares of Rs 10 each, amounting to an initial investment of Rs. 2 crore.
The primary business of REIL will be to develop, market, and distribute enterprise AI services, cementing a key partnership between the Indian conglomerate and the global tech major in the rapidly expanding artificial intelligence space. RIL confirmed that the transaction is not considered a related party transaction and that no governmental or regulatory approvals were required for the incorporation of REIL.
. Read more on Technology by NDTV Profit.