Bank of America (BofA) is entering a joint venture with Jio Financial Services to acquire an equity stake in its non-bank lending arm, Jio Credit. The companies say the deal is structured through a preferential allotment of shares and warrants, allowing BofA’s ownership to increase over time.
Under the initial terms, BofA takes a 26.5% equity interest in Jio Credit. The stake can rise to 49.9% if warrants are exercised. The total investment is reported as ₹18,268 crore (about $1.9 billion), which BofA will fund into the transaction to strengthen the lending subsidiary’s capital base.
Outlets broadly agree on the deal size, the JV structure, and the stake progression from 26.5% to 49.9%. Differences in coverage mainly reflect emphasis: some reports focus on the joint venture partnership and capital-strengthening objective, while others specify the rupee value and the potential increase via warrants.
