Reliance Industries’ subsidiary Reliance Strategic Business Ventures Limited (RSBVL) has acquired an additional equity stake in its investee company skyTran Inc. for a consideration of $26.76 million, increasing its shareholding to 54.46 per cent on a fully diluted basis.
skyTran, a technology company incorporated under the laws of Delaware, US, in 2011, has “developed breakthrough passive magnetic levitation and propulsion technology for implementing personal transportation systems aimed at solving the problem of traffic congestion globally”, the statement, released on Sunday, said.
RIL Chairman Mukesh Ambani said the acquisition of majority equity stake in skyTran reflects his conglomerate’s commitment to invest in “building futuristic technologies that would transform the world”.
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.
“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,” he added.
“We firmly believe 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,” Ambani further said.
For the deal with skyTran, the law firms Covington & Burling LLP and Freshfields Bruckhaus Deringer US LLP acted as legal counsel and IP counsel respectively to Reliance Industries, the company noted.
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Source: News18