RIL Bags Another Cheque For Reliance Retail; KKR To Invest Rs 5,550 Crore In Mukesh Ambani’s Firm

Global investment firm KKR will invest Rs 5,500 crore into the retail business of Mukesh Ambani, the second deal for India's richest man in the arm as he looks to widen his lead over Amazon.

KKR's cheque values Reliance Retail at a pre-money equity value of Rs 4.21 lakh crore.

Private equity giant Silver Lake Partners was the first to sign a Rs 7,500-crore cheque in Ambani's retail arm for a 1.75 percent stake. With two cheques in two weeks, Ambani has raised a total of Rs 13,050 crore so for for his retail arm. KKR had made a Rs 11,367 crore investment in Jio Platforms earlier this year.

KKR’s investment will translate into a 1.28% equity stake in RRVL on a fully diluted basis. This is also the second investment by KKR in a subsidiary of Reliance NSE 0.89 % Industries, following a Rs 11,367 crore investment in Jio Platforms announced earlier this year.

Reliance is looking to raise about Rs 60,000-63,000 crore by selling a 15% stake in Reliance Retail to a clutch of foreign investors and would also induct a strategic investor into the company. Saudi Arabia's Public Investment Firm, Abu Dhabi-based Mubadala, Abu Dhabi Investment Authority, KKR and L Catterton are likely to pick stakes, ET said in an earlier report.

“I am pleased to welcome KKR as an investor in Reliance Retail Ventures as we continue our onward march to growing and transforming the Indian Retail ecosystem for the benefit of all Indians. We look forward to working with KKR’s global platform, industry knowledge and operational expertise across our digital services and retail businesses,” Ambani said in a statement.

Ambani has identified technology and retail as future growth areas in a pivot away from the energy businesses he inherited from his father, who died in 2002. Retail is the next frontier for the 63-year-old Indian tycoon, whose ambitions include creating a home-grown e-commerce giant like China’s Alibaba Group Holding Ltd.

KKR is making its investment from its Asia private equity funds. The transaction is subject to regulatory and other customary approvals. " Reliance Retail’s new commerce platform is filling an important need for both consumers and small businesses as more Indian consumers move to shopping online and the company offers tools for Kiranas to be a critical part of the value chain. We are thrilled to support Reliance Retail in its mission to become India’s leading omnichannel retailer,” said Henry Kravis, KKR Co-founder.

Reliance Retail — a unit of the energy-to-telecommunications conglomerate Reliance Industries Ltd. — runs supermarkets, India’s largest consumer electronics chain store, a cash and carry wholesaler, fast-fashion outlets and an online grocery store called JioMart. It reported 1.63 trillion rupees in revenue in the year through March 2020. The unit operates almost 12,000 stores in nearly 7,000 towns.

Reliance last month bought assets of debt-strapped rival Future Group for 247.1 billion rupees, almost doubling the footprint of its retail chains. The deal includes Future’s retail, wholesale, logistics and warehousing units. Shares of Reliance traded 1.69 per cent down in Tuesday's trade at 11:19AM (IST). Around 225,065 shares changed hands on the counter.

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

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

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

Abhishek Securities

Search This Blog