On October 29, Jio Financial Services Ltd. (JFSL), the financial arm spun off from Reliance Industries under Chairman Mukesh Ambani, informed the stock exchanges that it has incorporated two new entities on October 28, 2024: Jio BlackRock Asset Management Pvt. Ltd. and Jio BlackRock Trustee Pvt. Ltd. Both subsidiaries have been set up to focus on mutual fund operations as their core business. Jio Financial Services has invested ₹82.50 crore for 8.25 crore equity shares, or 50% stake, in Jio BlackRock Asset Management and ₹40 lakh for 4 lakh shares, or 50% stake, in Jio BlackRock Trustee.
These joint venture companies are incorporated pursuant to the in-principle approval received by Jio Financial Services and BlackRock Financial Management Inc. to act as co-sponsors and set up the proposed mutual fund. In July 2023, Reliance Group’s Jio Financial Services (JFS) and BlackRock announced the creation of a 50:50 joint venture - Jio BlackRock. JFS received the in-principle approval from capital market regulator Sebi in October to act as co-sponsors and set up the proposed mutual fund along with BlackRock Financial Management.
The companies will focus on mutual fund operations subject to regulatory approvals, and have received their incorporation certificates from the Ministry of Corporate Affairs on October 28. At 12:20 AM, Jio Financial Services shares were trading at 2.64% higher at 325.00 apiece on the BSE.