Bank of America (NYSE: BAC) and Jio Financial Services Limited have signed a definitive agreement for Bank of America to acquire up to a 49.9% interest in Jio Credit Limited, a non-bank financial company and wholly owned subsidiary of Jio Financial Services, according to a press release.

The investment of up to ₹18,268 crore (~$1.9 billion) will be made through a preferential allotment of equity shares and warrants. The transaction initially gives Bank of America a 26.5% equity stake in Jio Credit, which can increase to 49.9% upon exercise of the warrants. The transaction remains subject to regulatory and statutory approvals.

Jio Credit reported assets under management of ₹30,667 crore (~$3.2 billion) as of June 30, 2026, within two years of operations. The company operates as a digital-first lender offering secured credit products including mortgages, loans against securities, and commercial and supply chain finance.

Under the terms of the agreement, Jio Credit's board of directors will have equal representation from both Jio Financial Services and Bank of America. Jio Credit's existing management team will continue to lead strategy and operations, and the company will remain consolidated as a subsidiary in Jio Financial Services' financial reporting.

Brian Moynihan, Chair and Chief Executive Officer of Bank of America, said: "India is one of the world's most important growth markets, and this investment reflects our confidence in its future, a market we know well and have supported for decades."

Jio Financial Services operates a range of financial subsidiaries in India and holds a 50:50 joint venture with BlackRock for mutual fund and wealth management services, as well as joint ventures with Allianz Group for reinsurance and general insurance.