BENGALURU, May 24 Reuters Jio Financial Services JFS is seeking shareholder approval for its unit to acquire equipment worth 360 billion rupees 4.33 billion from the retail arm of Reliance Industries as the financial services provider plans to enter the device leasing business, a postal ballot notice said.

Under the proposed deal, the JFS unit called Jio Leasing Services will buy telecom equipment and devices that usually include routers and cell phones.

The JFS subsidiary will rent out the equipment it buys to customers of Reliance Jio Infocomm Reliance39;s telecommunications arm the financial services company further said.

Jio Financial, spun out of billionaire Mukesh Ambaniled Reliance Group last year, had said in its earnings investor presentation that it will lease Jio Infocomm39;s AirFiber wifi services, phones, and laptops among other products.

This company will compete in the devicerental market with the likes of Hewlett Packard and Lenovo.

Voting on proposed items in the notice ends on June 22. The deal is expected to go through in the financial years 2025 and 2026.

1 83.1284 Indian rupees

Reporting by Varun Hebbalalu in Bengaluru; Editing by Nivedita Bhattacharjee

Source Reuters