UK’s BP has paid Reliance Industries $1 billion for 49% stake in a fuel retail joint venture, closing a transaction the two companies announced last year.
Reliance BP Mobility ltd (RBML), the joint venture in which Reliance Industries (RIL) holds 51%, will operate under the Jio-BP brand and leverage Reliance’s presence across 21 states and its millions of consumers through the Jio digital platform, according to a statement by the two companies.
The JV aims to expand the fuel retailing network to 5,500 fuel stations over the next five years from the current 1400, which will quadruple employment at service stations to 80,000, as per the statement. The outlets will be rebranded to “Jio-bp” in due course. The JV also aims to expand its presence from 30 to 45 airports in the coming years.
“RBML will aim to be a leader in mobility and low carbon solutions, bringing cleaner and affordable options for Indian consumers with digital and technology being our key enablers,” RIL chairman Mukesh Ambani said.
The JV aspires to provide Indian consumers with advanced fuels with lower emissions, electric vehicle charging and other low carbon solutions over time, the statement said.
“Reliance’s digital capabilities, technical expertise and reach complement our international fuels and service offers,” BP CEO Bernard Looney said. “This new venture is a unique opportunity to build a leading, fast-growing business that can help meet India’s demands and create exciting new digital and low-carbon options for the future.”
Source: Economic Times