Bank of America (US, Charlotte) has entered into a joint venture with Jio Credit (IN), acquiring up to 49.9% interest in the Indian non-bank financial company through a preferential allotment of equity shares and warrants for $1.9 billion.
| Acquirer | Bank of America |
|---|---|
| Target | Jio Credit (IN) |
| Deal Value | $1.9 billion |
| Stake Acquired | 49.9% |
| Type of Deal | Joint Venture |
| Close Date | 2026-08-XX |
| Announcement Date | 2026-08-12 |
| Buy-side Advisor(s) | BofA Merrill Lynch |
| Sell-side Advisor(s) | Not Disclosed |
The deal supports Bank of America's commitment to expanding its global franchise with a strong local partner in India, leveraging Jio Credit’s digital reach and knowledge of the Indian market. By combining Jio Credit's assets under management (AUM) of approximately $3.2 billion as of June 30, 2026, with Bank of America's extensive financial services expertise, both companies aim to enhance their offerings in the rapidly growing Indian economy.
Deal Mechanics
The transaction involves an equity investment and warrants that total approximately $1.9 billion. Jio Credit will receive the capital injection to further support its growth trajectory in India's burgeoning financial sector. The joint venture partners, Jio Financial Services Limited and Bank of America Corporation, have agreed on equal representation on Jio Credit’s Board of Directors.
Strategic Rationale
This strategic move by Bank of America underscores the increasing importance of the Indian market in its global expansion plans. With India set to become one of the world's fastest-growing major economies, this partnership positions both entities to capitalize on emerging opportunities within the country’s financial landscape.
Mukesh D. Ambani, Chairman and Managing Director of Jio Financial Services Limited, emphasized that the strategic alliance is pivotal in democratizing access to responsible credit for Indians, aligning with the vision of a Viksit Bharat by 2047. Brian Moynihan, Chair and CEO of Bank of America, highlighted the company's longstanding commitment to India and its confidence in the market’s future growth.
Financial Context
Jio Credit Limited has experienced rapid expansion since inception, achieving AUM of $3.2 billion within two years. The partnership with Bank of America aims to leverage this foundation along with the acquirer's extensive experience and resources in global financial services. This collaboration is expected to enhance Jio Credit’s risk management capabilities and digital innovation, thereby supporting sustainable loan growth.
Advisors
The transaction was advised by BofA Merrill Lynch on behalf of Bank of America. Financial details for the sell-side were not disclosed.
Outlook
The joint venture with Jio Credit represents a significant milestone in Bank of America's strategic push into key growth markets and its commitment to fostering local partnerships that drive sustainable financial inclusion. As both entities integrate their respective strengths, they aim to strengthen their presence in India’s dynamic financial services sector.