Mumbai: Reliance Strategic Business Ventures Limited (RSBVL), a wholly owned subsidiary of Reliance Industries Limited, announced that it has acquired additional equity stake in its investee company SkyTran Inc. for a consideration of USD 26.76 million increasing its shareholding to 54.46 per cent on a fully diluted basis.

SkyTran is a technology company incorporated under the laws of Delaware, USA, in 2011. The American company has developed breakthrough passive magnetic levitation and propulsion technology for implementing personal transportation systems aimed at solving the problem of traffic congestion globally.

The technology has been developed by SkyTran to create smart mobility solutions. 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.

“Our acquiring majority equity stake in skyTran reflects our commitment to invest in building futuristic technologies that would transform the world. We are excited by SkyTran’s potential to achieve an order of magnitude impact on high speed intra and inter-city connectivity and its ability to provide a high speed, highly efficient and economical ‘Transportation-As-AService’ platform for India and the Rest of the World,” Mukesh Ambani, Chairman and Managing Director of Reliance Industries, said while announcing the news on Sunday.

“We firmly believe that non-polluting high speed personal rapid transportation systems will help facilitate environmental sustainability through efficient use of alternative energy and make an impactful reduction in air and noise pollution,” Ambani added.

The law firms Covington and Burling LLP and Freshfields Bruckhaus Deringer US LLP acted as legal counsel and IP counsel respectively to Reliance Industries.

RIL announced a consolidated turnover of INR 659,205 crore (USD 87.1 billion) and net profit of INR 39,880 crore (USD 5.3 billion) for the year ended March 31, 2020. Its activities span hydrocarbon exploration and production, petroleum refining and marketing, petrochemicals, retail and digital services. /BI/