ADIA to invest Rs 4,966.80 crore in Reliance Retail for 0.59 pc stake

TBB BUREAU

MUMBAI, OCT 6, 2023

Abu Dhabi Investment Authority will invest Rs 4,966.80 crore into Reliance Retail Ventures Limited for a 0.59 per cent stake in the company, said Reliance Industries.

”This investment values RRVL at a pre-money equity value of Rs 8.381 lakh crore (USD 100.83 billion), which makes it among the top four companies by equity value in the country,” Reliance Industries said in a regulatory filing.

This investment by a wholly-owned subsidiary of Abu Dhabi Investment Authority (ADIA) ”will translate into an equity stake of 0.59 per cent” in Reliance Retail Ventures Limited (RRVL) on a fully diluted basis, it added.

RRVL is the holding company of the retail business of RIL, which operates an integrated omnichannel network of over 18,500 stores and digital commerce platforms across grocery, consumer electronics, fashion & lifestyle, and pharma consumption baskets.

RRVL Executive Director Isha Mukesh Ambani said: ”We are pleased to further deepen our relationship with ADIA with their continued support as an investor in RRVL. Their long-standing experience of over decades of value creation globally will further benefit us in implementing our vision and driving the transformation of the Indian retail sector”. ADIA’s investment in RRVL is a further testament to their belief in the Indian economy and our business fundamentals, strategy and execution capabilities, she added.

Hamad Shahwan Aldhaheri, Executive Director of the Private Equities Department, ADIA, said: ”This investment aligns with our strategy of supporting our portfolio companies that are transforming their respective end markets. We are pleased to partner with the Reliance Group, and increase our exposure to India’s dynamic and fast-growing consumer sector.”