Reliance Finance and Investments USA LLC (RFIUL), a wholly owned subsidiary of Reliance Industries, announced on Wednesday that it has entered into a stock purchase agreement with Wavetech Helium, Inc. (WHI) to acquire a 21% stake in the company for a total consideration of USD 12 million.
According to a filing with the stock exchanges on Thursday, WHI was incorporated in the United States on July 2, 2021, and commenced its commercial operations in the calendar year 2024. WHI specializes in the exploration and production of helium gas, focusing on the acquisition, exploration, and development of properties to extract helium from underground reservoirs.
Helium is utilized in various applications, including medical uses, scientific research, aerospace and aeronautics, electronics, and fiber optics. The demand for helium is expected to rise, particularly with the anticipated growth in artificial intelligence and data centers, which will increase the need for helium in semiconductor manufacturing, as noted by the company.
The acquisition aligns with Reliance Industries’ strategy to expand its exploration and production business in the realm of low-carbon solutions. The filing also indicated that no governmental or regulatory approvals were necessary for this transaction, and the company received confirmation of the investment at 12:16 AM (IST) today.
