Reliance Industries Ltd (RIL) has more than doubled its interest in US-based SkyTran Inc., highlighting the oil-for-sale company’s ambitious plans for eco-friendly transportation systems.
RIL, controlled by Asia’s richest man, Mukesh Ambani, raised its stake in SkyTran to 54.46% from 26.3% on a fully narrowed basis for $ 26.76 million, the Mumbai-based company said in a regulatory filing. The bet is held by RIL Reliance Strategic Business Ventures Ltd unit.
SkyTran is an enterprise-funded developer for pod car transport systems. A pod taxi is a driverless personal rapid movement system, which runs on a predetermined course either through overhead suspension or magnetic levitation.
Founded in 2011, SkyTran aims to solve global traffic congestion by creating a high-speed, scalable and low-cost transportation system. It has partnered with the National Aeronautics and Space Administration (Nasa) in the U.S. and Israel Aerospace Industries (IAI).
RIL first invested in SkyTran in October 2018, taking a 12.7% stake in the company. In November 2019, it raised interest to 17.37% and in April 2020, to 26.3%.
“Our majority ownership stake in SkyTran demonstrates our commitment to investing in building world-changing futures technologies,” said Ambani, chairman and managing director. RIL.
Mint announced in October 2018 that RIL is scoring for a site for the first pod taxi prototype in India, the next generation transportation system.
“We strongly believe that a high-speed non-polluting personal high-speed transport system will help enable environmental sustainability through the efficient use of alternative energy and reduce the impact of air and noise pollution,” said Ambani.
Last week, RIL carved out a new unit, oil-to-chemical (O2C), as part of it with a focus on building the best combination of lean and affordable energy including supply, wind and batteries. The company said its new energy businesses will invest in carbon sequestration to convert it into useful chemicals and hydrogen.