Bank of America to Invest Up To ₹18,268 Crore in Jio Credit Limited
Jio Financial Services Limited (JFSL) and Bank of America Corporation (BofA) have announced a strategic agreement whereby BofA will acquire up to 49.9% interest as a joint venture partner in Jio Credit Limited (JCL). This investment is set to bolster JCL's growth within India by combining JFSL's deep local market knowledge with BofA’s global financial services expertise.The transaction involves the preferential allotment of equity shares and warrants, providing BofA an initial 26.5% stake in Jio Credit Limited (JCL). Upon the exercise of the warrants, Bank of America will hold up to 49.9% of the paid-up equity share capital of JCL post-conversion.
The total investment is valued at up to ₹18,268.22 crore. This financing comes as JCL continues its rapid expansion in India and received further capital support from BofA.
Investment Structure Details
The investment by NB Holdings Corporation, a wholly owned subsidiary of Bank of America Corporation (BofA), involves the subscription to two types of securities issued by JCL: equity shares and warrants.| Securities Type | Quantity Offered | Face Value / Aggregate Consideration |
|---|---|---|
| Equity Shares | Up to 4,29,29,760 (representing 26.50% of post-issue paid-up equity share capital) | Aggregate consideration of up to ₹6612,90,02,304/- |
| Warrants | Up to 7,56,64,248 | Aggregate consideration of up to ₹11655,32,07,619.20/- |
Of the warrant subscription amount, 25% is payable at the time of subscription, with the balance due upon conversion into a fully paid-up equity share of JCL.
Strategic Partnership and Market Context
The partnership aims to leverage JFSL's digital reach and understanding of the Indian market alongside BofA's international financial services proficiency. Both companies are focused on improving clients' financial lives through innovation, accessible credit, and robust risk management frameworks.JCL is recognized as one of India’s fast-growing NBFCs, having achieved assets under management (AUM) of ₹ 30,667 crore as of June 30, 2026, within two years of operation. JCL focuses on bridging the gap between traditional finance and modern accessibility through a range of lending products covering Retail, Commercial, and Supply Chain Finance.
The investment allows BofA to expand its engagement in India’s rapidly growing economy. The collaboration will provide JCL with access to BofA's expertise related to financial services, governance, risk management, and technology.
During the announcement, Mukesh D. Ambani commented that this strategic partnership is a pivotal milestone in the mission of making finance more seamless for Indians, combining JFSL’s digital reach with Bank of America’s global pedigree. Brian Moynihan, Chair and Chief Executive Officer of BofA, stated that by combining Jio Financial Services' scale and local expertise with BofA's global reach and banking experience, they can assist in expanding access to financial services and supporting India's continued economic growth.
JIOFIN Stock Price Movement
On Wednesday, Jio Financial Services Limited shares edged higher to close at ₹256.05, rising 1.31% on a positive session. The stock traded with a total volume of 13.29 million shares, having successfully moving within the day's trading range between ₹249 and its closing price.Disclaimer: Due care and diligence have been taken in compiling and presenting news and market-related content. However, errors or omissions may arise despite such efforts.
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