- Bank of America will acquire up to 49.9% stake in Jio Credit Limited in a $1.9 billion deal
- Jio Credit will issue equity shares and warrants worth Rs 18,268 crore to Bank of America
- Jio Credit's assets under management reached Rs 30,667 crore as of June 30, 2026
Bank of America (BofA) has entered into a joint venture with Jio Financial Ltd., according to an exchange filing on Wednesday. The top lender, as per the announcement, is also set to acquire up to a 49.9% stake in Jio Credit Limited, the lending subsidiary of Jio Financial Services, in a deal worth Rs 18,268 crore.
Under the agreement, Jio Credit will issue equity shares worth Rs 6,613 crore and warrants worth Rs 11,655 crore to BofA through a preferential allotment. The total investment is approximately $1.9 billion.
The transaction will create a strategic joint venture between Jio Financial Services and the US banking giant.
Jio Credit's Assets Cross Rs 30,000 Crore
Jio Credit has rapidly expanded its lending operations since beginning its journey as a digital-first NBFC. The company had assets under management (AUM) of Rs 30,667 crore as of June 30, 2026.
The company offers secured lending products across retail and commercial segments. These include mortgages, loans against securities, commercial finance and supply-chain finance.
The fresh capital from BofA will help Jio Credit support its growth and expand its lending business in India.
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Jio and BofA to Combine Strengths
The partnership will bring together Jio Financial Services' digital reach, customer base and knowledge of the Indian market with BofA's global financial services expertise.
The two companies aim to improve access to credit through digital platforms while focusing on technology, governance and risk management.
Jio Financial Services Chairman Mukesh Ambani said the partnership is an important milestone in the company's mission to make financial services simpler and more accessible for Indians.
Equal Board Representation
Following the transaction, the Jio Credit board will have equal representation from Jio Financial Services and Bank of America.
However, Jio Credit will continue to be consolidated as a subsidiary in Jio Financial Services' financial reporting. The existing management team will also continue to oversee the company's strategy and operations.
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Why the Deal Matters?
The partnership gives BofA a deeper foothold in India's expanding financial services market. For Jio Financial Services, the deal brings significant capital along with BofA's expertise in risk management, governance, technology and financial services.
The transaction also strengthens Jio Financial Services' growing network of global partnerships. The company already has joint ventures with BlackRock in asset management and wealth management, and with Allianz in insurance.
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