Reliance Retail, under the control of Mukesh Ambani, is reportedly engaged in discussions with existing investors, including sovereign wealth funds from Singapore, Abu Dhabi, and Saudi Arabia, regarding a potential additional round of investments totaling around USD 1.5 billion. These talks are part of an internal objective to secure USD 3.5 billion in investments by the end of September, according to a media report.
Singapore’s GIC, the Abu Dhabi Investment Authority (ADIA), and Saudi Arabia’s Public Investment Fund (PIF) are considering investments of at least USD 500 million each in Reliance Retail, valuing the company at USD 100 billion, as per the report. Collectively, GIC, PIF, and ADIA already hold a 4.4 per cent stake in Reliance Retail.
In 2020, Reliance Retail sold a 10.09 per cent stake in its retail unit for Rs 4.68 lakh crore (USD 56.4 billion). During that transaction, GIC and ADIA invested USD 664 million each, while PIF contributed USD 1.15 billion, based on current exchange rates.
This news follows an announcement by private equity giant KKR, stating that it plans to invest an additional Rs 2,069.50 crore in Reliance Industries Ltd (RIL) subsidiary. This latest investment values Reliance Retail Ventures Limited (RRVL) at Rs 8.36 lakh crore.
Isha Ambani, Director of RRVL, expressed appreciation for KKR’s continued support and highlighted their deepening partnership. She stated, “We look forward to continued engagement with KKR and to benefit from their global platform, industry knowledge, and operational expertise, in our journey towards driving transformation of the Indian retail sector.”
Last month, the Qatar Investment Authority (QIA) announced its intention to invest Rs 8,278 crore in RRVL, resulting in a minority equity stake of 0.99 per cent in RRVL on a fully diluted basis. This investment valued RRVL at a pre-money equity value of Rs 8.278 lakh crore.
Reliance Retail, through its subsidiaries and associates, operates India’s largest retail business, serving nearly 27 crore loyalty customers with an integrated omnichannel network of over 18,500 stores and digital commerce platforms across various sectors, including grocery, consumer electronics, fashion, lifestyle, and pharmaceuticals. It competes with global giants like Amazon and Walmart’s Flipkart and has partnerships with renowned brands such as Jimmy Choo, Marks & Spencer, and Pret A Manger.