Reliance Industries has announced that Qatar Investment Authority, through a wholly-owned subsidiary, will invest Rs 8,278 crore into its retail arm Reliance Retail Ventures Limited (RRVL).
This investment values Reliance Retail at a pre-money equity value of βΉ 8.278 lakh crore, the company said in a statement.
Reliance Retail, through its subsidiaries and associates, operates India's largest retail business with over 18,500 stores.
"QIAβs investment will translate into a minority equity stake of 0.99 per cent in RRVL on a fully-diluted basis," the company said.
The previous fund-raise round by RRVL in 2020 from various global investors of an aggregate amount of Rs 47,265 crore was done at a pre-money equity value of Rs 4.21 lakh crore, it added.
RRVL director Isha Mukesh Ambani said, βWe are delighted to welcome QIA as an investor in Reliance Retail Ventures Limited. We look forward to benefitting from QIAβs global experience and strong track record of value creation as we further develop Reliance Retail Ventures Limited into a world class institution, driving transformation of the Indian retail sector. The investment by QIA is a strong endorsement of a positive outlook towards Indian economy and Relianceβs retail business model, strategy and execution capabilities.β
Mansoor Ebrahim Al-Mahmoud, CEO, QIA, said, βQIA is committed to supporting innovative companies with high-growth potential in Indiaβs fast growing retail market. We are looking forward to Reliance Retail Ventures Limited, with its strong vision and impressive growth trajectory, joining our growing and diverse portfolio of investments in India".
Comments β
An Appeal...
Dear Reader,
As you are no doubt aware, Swarajya is a media product that is directly dependent on support from its readers in the form of subscriptions. We do not have the muscle and backing of a large media conglomerate nor are we playing for the large advertisement sweep-stake.
Our business model is you and your subscription. And in challenging times like these, we need your support now more than ever.
We deliver over 10 - 15 high quality articles with expert insights and views. From 7AM in the morning to 10PM late night we operate to ensure you, the reader, get to see what is just right.
Becoming a Patron or a subscriber for as little as Rs 1200/year is the best way you can support our efforts.
