Abu Dhabi’s wealth fund Mubadala buys a 1.4% stake in Reliance Retail Ventures (RRVL) a subsidiary of Reliance Industries Limited for Rs. 6,247.5 crores. This is the second significant investment by Mubadala in Reliance Industries Subsidiary. They have invested Rs.9,093.60 crore for a 1.85% equity stake in Jio Platforms early this year. The investment values Reliance Retail at a pre-money equity value of Rs4.285 lakh crore.
RIL in its Regulatory filing stated, “Mubadala’s investment will translate into a 1.40% equity stake in RRVL on a fully diluted basis”. Reliance Retail Limited, a subsidiary of RRVL, is India’s fastest-growing and the most profitable retail business serves across the nation through its 12000 stores. Mukesh Ambani, Chairman and Managing Director of Reliance Industries commented, “I am happy to welcome Mubadala as a valued investor in Reliance Retail Ventures. We value the partnership with a knowledge-rich organization like Mubadala and acknowledge their confidence in our mission to strengthen the core of India’s retail sector- the millions of small retailers, merchants and shopkeepers- through the power of technology. Mubadala’s investment and guidance will be an invaluable support in this journey”.
Khaldoon Al Mubarak, Managing Director and group CEO, Mubadala Investment Company, said that they are pleased to deepen the relationship with Reliance Industries by investment in RRVL. He added Mubadala group will continue supporting RRVL in the visionary transformation of Indian Retail sector. Previously, Silver Lake, KKR India and General Atlantic have invested in RRVL. Since September Reliance has raised Rs.24,847.5 crore by selling its 5.65% stake. Reliance has been offering all of its 13 investors around the globe who had poured Rs.1.52 lakh crore in Jio Platform a chance to explore investing in the retail unit.