American technology and retail giant Amazon plans to buy $ 2 billion in bets on Indian telecom operator Bharti Airtel. Sources close to the conversation, as reported by Reuters, claim that the talks are still in the early stages. With this investment, Amazon will acquire around 5% stake in Airtel as per its current market value.
Amazon’s interest in Airtel is not unreasonable. The company has invested a lot in India. In fact, it has committed close to $ 6.5 billion in investment in the country. As stated earlier, negotiations are still in the initial stages. Therefore, the terms of the deal may change, or the deal may not.
Interestingly, this report has come at a time when many investment activities are being seen in Reliance Industries’ Jio platforms. In the past few weeks, several US-based companies have invested in Jio platforms. These include the likes of Facebook, KKR, and others. With these investments, Jio has raised close to $ 10 billion.
When returned to the report, when contacted for a comment, an Amazon spokesman said the company “does not comment on speculation about what we can or cannot do in the future.” Meanwhile, Airtel simply stated that it regularly works with digital players to bring its products and services to Indian consumers. The company also said “beyond that there is no other activity to report.”