Mumbai: Reliance Industries Ltd and Reliance Retail Ventures Ltd announced on Thursday that it will invest 6,247.5 crore rupees (AED 3.1 billion) in Reliance Retail Ventures Limited (RRVL) from Mubadala Investment Company (Mubadala), based in Abu Dhabi.
This new investment has made Reliance Retail Pre-Money Equity worth Rs 4.285 lakh crore. This amounts to a 1.40% equity share purchase of Reliance Retail Ventures, based on Fully Diluted.
Earlier this year, Mubadala announced a $ 1.2 billion investment in Geo Platform. This is one of the most significant investments in Reliance Retail Ventures, another subsidiary of Reliance Industries, after Geo Platform.
Reliance Retail Limited is a subsidiary of Reliance Industries. India’s largest and fastest growing and most profitable industry. It has over 12 thousand stores nationwide. Khakhaji aims to serve millions of consumers by strengthening the MS ME sector of India’s farmers.
Reliance Industries Chairman Mukesh Ambani said, “We are delighted to welcome Mubadala as a valued investor of Reliance Retail Ventures. “We are honored to have partnered with an organization like Mubadala which is a wealth of knowledge.”
We retain the confidence that Mubadala has placed on our goal of strengthening India’s retail sector. That too, millions of small retailers, merchants – through the power of technology. Mubadala’s investment and guidance will be invaluable in this journey.
Khaldoon Al Mubarak, CEO and Executive Director of Mubadala Investment Group, said: “We are delighted to have a close relationship with Reliance Industries by investing in Reliance Retail Ventures Limited.”
His vision is to transform India’s consumer economy, including everyone else, through the power of digitization. Creates opportunities. It helps millions of small traders in the country get connected to the market. Having said that, we are committed to supporting the company’s continued growth.
The transaction will be finalized based on regulators and other approvals. Morgan Stanley has been a financial advisor, and Cyril Amar Chand has been with Reliance Retail as Mangal Das and Davis Polk and Wardwell as legal counsel.