BENGALURU, Oct 16 (Reuters) - BlackRock ( BLK ), the

world's biggest asset manager, is in talks with Mukesh

Ambani-led Reliance Group firm Jio Financial Services

to set up a private credit venture, Bloomberg News reported on

Wednesday, citing people familiar with the matter.

The two companies will form a 50-50 joint venture to lend to

businesses ranging from large companies to startups, if talks

materialise, the report said, adding that a final decision on

the venture was yet to be made.

BlackRock ( BLK ) declined to comment, while Jio Financial did not

immediately respond a Reuters request for comment.

India is seeing strong demand for private credit with a

growing number of Indian alternative investment funds expanding

their businesses in the category, mirroring a pick-up in

activity across Asia.

This would be the third JV between the U.S.-based asset

management firm and the Indian financial services company, after

they announced ventures to start asset management and broking

businesses in India.

Earlier this month, the companies got approval of the

country's markets regulator to act as co-sponsors and set up a

mutual fund business in the country.