Reliance Strategic Business Ventures Limited (RSBVL), a wholly owned subsidiary of Reliance Industries Limited (RIL) has increased its stake in SkyTran from 17.37% to 26.31% on a fully diluted basis.
Subsequent to disclosure dated November 7, 2019, RSBVL acquired convertible notes in two tranches, the first one on November 29, 2019 and the second one on March 23, 2020, which got converted into shares of SkyTran on April 27, 2020 upon certain conditions being satisfied. Consequently, the shareholding of RSBVL in SkyTran stood increased to 26.31% on a fully diluted basis.
No regulatory approvals are required in India for the aforesaid acquisition of shares as the investment does not fall within related party transactions and none of the company’s promoter/promoter group/group companies have interest in Skytrain.
SkyTran is an exciting undertaking with the potential to change the way we think about commuting, tackling our intensifying congestion and the effects of our increasing dependence on automobiles. Originally funded as a research project through the Department of Transportation, SkyTran has gone on to raise investment from some of the world’s top tier investors, including Innovation Endeavors, Draper Associates and Reliance Industries, India’s largest company.
At the beginning of this year, the company began construction on our second full-scale test platform and will soon launch our first commercial pilot.