NB Holdings Corporation, a subsidiary of Bank of America Corporation, plans to acquire a 49.9% stake in Jio Credit—the lending arm of Mukesh Ambani's Jio Financial Services (JFS)—for an amount of INR 18,268.22 crore, equivalent to $1.9 billion. The deal will be executed through a preferential placement of equity and warrants, as reported to stock exchanges. The parties signed the final agreement for this transaction on Wednesday.
Initially, BofA will receive a 26.5% stake in Jio Credit, which may increase to 49.9% upon the exercise of warrants. It is important to note that this transaction is subject to obtaining the necessary regulatory and legal approvals. The remaining stake in Jio Credit will remain with JFS.
As of June 30, 2026, Jio Credit has accumulated Assets Under Management (AUM) of INR 30,667 crore, or approximately $3.2 billion, in just two years since its inception. These investments will provide Jio Credit with long-term capital to support credit growth as its product line expands, and will allow BofA to gain a more significant presence in India's growing financial sector.
Brian Moynihan, Chairman and CEO of Bank of America, stated that India is one of the world's most significant growth markets, and this investment reflects the company's confidence in the future of this market, which it has known and supported for decades. Since BofA does not engage in retail banking outside the US, this capital injection represents a pure equity investment.
Following the completion of the deal, the board of directors of Jio Credit will have equal representation from Jio Financial Services and BofA. The existing management team will continue to lead the NBFC, while Jio Credit will remain a consolidated subsidiary in the financial statements of Jio Financial Services. Ambani noted that combining digital reach with the global reputation of Bank of America will eliminate barriers to credit provision for all residents of India, helping them build a prosperous and inclusive path for the entire nation.
For BofA, this deal provides access to India's rapidly evolving credit market through an existing digital platform. The American lender stated that the investment will enable it to participate in India's growth by collaborating with a company that possesses local expertise and unique capabilities. Furthermore, the transaction will give Jio Credit access to BofA's expertise in risk management, corporate governance, technology, and financial services as its lending business expands.
JFS emphasized that Jio Credit is focused on bridging the gap between traditional finance and modern accessibility through its diverse portfolio of credit products, striving to responsibly continue its growth trajectory by providing lending opportunities across both existing and new products in India. The transaction value is 2.5 times the net asset value of Jio Credit, which stands at INR 7,259 crore.
