Mumbai, NFAPost: Reliance Strategic Business Ventures Limited (“RSBVL”), a wholly-owned subsidiary of Reliance Industries Limited, announced that it has acquired an additional equity stake in its investee company skyTran Inc. (“skyTran”) for a consideration of $26.76 million increasing its shareholding to 54.46% on a fully diluted basis.
skyTran is a technology company incorporated under the laws of Delaware, United States of America (USA) in 2011. skyTran has developed breakthrough passive magnetic levitation & propulsion technology for implementing personal transportation systems aimed at solving the problem of traffic congestion globally.
The technology has been developed by skyTran to create Smart Mobility Solutions.
The proposed skyTran transportation systems would consist of computer-controlled passenger pods running on its state-of-the-art, patented Passive Magnetic Levitation technology and would use cutting edge IT, Telecom, loT and Advanced Materials technologies to transport passengers in a fast, safe, green, and economical manner.
It is also supported by notable global venture capital investors such as Innovation Endeavors.
Expressing happiness over the development, Reliance Industries Chairman and Managing Director Mukesh Ambani said the acquisition of majority equity stake in skyTran reflects the company’s commitment to invest in building futuristic technologies that would transform the world.
“We are excited by skyTran’s potential to achieve an order of magnitude impact on highspeed intra and inter-city connectivity and its ability to provide a high speed, highly efficient and economical ‘Transportation-As-A-Service’ platform for India and the Rest of the World,” said Mukesh Ambani.
Mukesh Ambani also said Reliance firmly believes that non-polluting high speed personal rapid transportation system will help facilitate environmental sustainability through efficient use of alternative energy and make an impactful reduction in air and noise pollution.
The law firms Covington & Burling LLP and Freshfields Bruckhaus Deringer US LLP acted as legal counsel and IP counsel respectively to Reliance Industries.
RIL is India’s largest private sector company, with a consolidated turnover of Rs 659,205 crore ($87.1 billion), cash profit of Rs 71,446 crore ($9.4 billion), and net profit of Rs 39,880 crore ($5.3 billion) for the year ended March 31, 2020.
RIL’s activities span hydrocarbon exploration and production, petroleum refining and marketing, petrochemicals, retail and digital services.