After Jio, Global Investors Turn Focus To Reliance Retail; Carlyle Group May Pick Up $2 bn Stake In RRVL

Carlyle Group is looking to invest $1.5-2 billion to buy a stake in Reliance Retail Ventures Ltd (RRVL), said two people aware of the development, joining a string of marquee investors that are keen on buying stakes in units of Mukesh Ambani-led Reliance Industries Ltd.

If a deal is finalized, it will mark Carlyle’s first investment in the retail sector in India and its biggest so far in an Indian company. “The retail story (of Reliance Retail) is certainly a bright spot," one of the two people cited above said, requesting anonymity.

Carlyle is considering investments across the retail space in India comprising both online and offline retail firms, including Reliance Retail, the person said.

To be sure, Carlyle’s investment in RRVL is still at discussion stage, and a final deal may eventually not fructify, said the second person cited above.

Reliance Retail Ltd, a unit of RRVL, operates India’s largest and fastest-growing retail business with nearly 12,000 stores nationwide.

Post the recent acquisition of Future Group’s retail business, RRVL has drawn the attention of several large investors.

Last week, RRVL raised $1 billion from Silver Lake Partners. On Thursday, Mint reported that the retail firm is set to draw $5 billion in additional investments from KKR and Co., Mubadala Investment Co. and Abu Dhabi Investment Authority.

California-based private equity firm Silver Lake, an investor in RIL’s Jio Platforms Ltd, picked up a 1.75% stake in RRVL for ₹7,500 crore, valuing the company at ₹4.21 trillion, or $57 billion. The latest plan by Carlyle also values Reliance Retail at similar levels.

A spokesperson for Carlyle declined to comment on the talks with Reliance.

A spokesperson for RIL said on Saturday: “Our company evaluates various opportunities on an ongoing basis. We have made and will continue to make necessary disclosures in compliance with our obligations under Securities Exchange Board of India and our agreements with the stock exchanges."

“In light of a high incidence of speculative media queries...relating to purported capital transactions ...we would like to reiterate that as a policy, we do not comment on media speculation. Vide this communication, we appeal to the media to carefully examine any such speculative information and safeguard themselves and their readers, many of whom are individual retail investors, from publishing/recycling unfounded and/or incorrect news," the spokesperson said.

Sandip Ginodia , CEO

ALTIUS INVESTECH PVT LTD

We deal in over 60 unlisted companies with 15 years of experience

For latest prices visit : www.abhisheksecurities.com/unlisted.htm / call : 09830271248 .

Email : ginodiasandip1@gmail.com

Reliance's JioMart is averaging half a million orders per day; WhatsApp driving growth

JioMart , Reliance's online-to-offline commerce platform that launched in May , has scaled up rapidly, riding on the pandemic-fuelled digital acceleration. The service, which went live in 200 cities across India, is currently processing an average of 500,000 orders per day. " We can go even higher on peak days", Jio Platforms CEO Kiran Thomas revealed at the Facebook for Fuel India 2020 event. He said, "JioMart is empowering millions of kiranas and small merchants through the simple and secure platform of WhatsApp, and linking them to Reliance Retail's pan-India supply chain. We expect to grow manifold in future, and are optimistic about enabling new cohorts of users and making it easier for them to shop for daily essentials." "Customers are transacting seamlessly on JioMart and the conversational nature of the service enabled by WhatsApp has made people adapt to it intuitively," he added. Reliance also stated that it will continue t

TCS merger with TCS e serve

The board of Tata Consultancy Services (TCS) in its meeting on 18 October 2012 has approved the composite scheme of arrangement between TCS, TCS e-Serve (e-Serve) and TCS e-Serve International (TEIL). The composite scheme of arrangement provides for merger of e-Serve into TCS and demerger of TEIL's special economic zone (SEZ) undertaking(s) to TCS. The appointed date proposed for this scheme is 01 April 2013. TCS holds 96.26% of the paid up equity share capital of e-Serve. TEIL is a wholly owned subsidiary of e-Serve. As per the terms of the scheme of arrangement, shareholders of e-Serve (other than TCS) will receive 13 equity shares of Re 1 each of TCS for every 4 equity shares of Rs 10 each of e-Serve held by them. The board has approved the scheme of merger of Computational Research Laboratories (CRL) and Retail FullServe (RFL) with TCS. The proposed appointed date for the merger of CRL is 01 October 2012 and for the merger of RFL is 01 April 2012. Computational Res

Stock broker SMC Global files for IPO

F inancial services company SMC Global Securities has filed draft red herring prospectus with SEBI for public issue of 1,58,67,380 equity shares of face value of Rs 2 each. The issue comprises a fresh issue of 79,33,690 equity shares by the company and an offer for sale of 79,33,690 shares by Millennium India Acquisition Company Inc. As of September 30, 2012, "We service our broking clients through a network of 43 branches and 2,521 registered sub-brokers and authorized persons spread in more than 500 cities and towns. We have also established an office in Dubai for brokerage and trading activities in that region," the company said. SMC has reported a loss of Rs 0.42 crore and total revenues of Rs 292.24 crore in the year ended March 31, 2012. "The proceeds of the fresh issue shall be utilised for margin maintenance with stock exchanges; part repayment of term loan; investments into subsidiary, SMC Comtrade; and general corporate purposes," according to p

Abhishek Securities

Search This Blog