Abhishek Securities

  Reliance Industries (RIL) on November 18 said it has completed the sale of about 10 percent stake in Reliance Retail Ventures Ltd (RRVL), its retail arm, to a clutch of foreign investors for Rs 47,265 crore. The largest fundraise exercise in the sector was completed within two months. Since September 25, the company has sold 10.09 percent stake in RRVL to private equity firms Silver Lake Partners, KKR, GIC, TPG and General Atlantic, as well as sovereign wealth funds Mubadala, Abu Dhabi Investment Authority (ADIA) and PIF. "RRVL has received cumulative subscription amount of Rs 47,265 crore from the following financial partners and allotted 69.27 crore equity shares to them," the company said in a statement. Silver Lake Partners bought 2 percent stake in two tranches for Rs 9,375 crore while KKR invested Rs 5,550 crore for 1.19 percent interest. GIC and AIDA each bought 1.18 percent for Rs 5,512.50 crore. The UAE's Mubadala bought 1.33 percent stake for Rs 6,247.50 crore...

  World's largest fund - the $100 billion SoftBank Vision Fund (SVF) - evaluated investing in  Jio Platforms  and  Reliance Retail  but its expectations were higher than what the two firms would deliver, Rajeev Misra, CEO of SoftBank Vision Fund told BusinessToday.In in an exclusive interview. Misra was responding to a query on whether SVF regretted not being an investor in Jio and Reliance Retail. "We evaluated Jio Platforms, Reliance Retail," says Misra. Eventually, SoftBank decided against investing at a time when global investors were queueing up to own a part of the two firms. SoftBank's contra decision comes in the wake of a stream of investments into the two Reliance firms that have raised Rs 1.52 lakh crore and Rs 47,265 crore, respectively, so far. The Rs 2 lakh crore investing spree right through the COVID-lockdown is continuing till date. Investors in Jio and Reliance Retail include marquee names such as Facebook, Google, KKR, Intel Capital, General A...

  Two of the world's richest men are duking it out over a brick-and-mortar retail chain on the verge of default. But when it comes to the fight for India's  growing e-commerce market , every  battle counts . Amazon   ( AMZN ) , the Seattle-based e-commerce firm owned by Jeff Bezos, is fighting a $3.3 billion deal struck between Mukesh Ambani's Reliance Industries and the Indian retail conglomerate Future Group. What's at stake is strategic access to a network of popular grocery stores and retail shops in India — something both Amazon and Reliance want to either have for themselves, or to prevent the other from acquiring. "If someone backs down, it will give the impression that one has lost and the other has won, when the fight has just started," said Counterpoint Research analyst Tarun Pathak. Amazon has 31.2% market share in India's e-commerce industry, just behind Walmart-owned Flipkart's 31.9%, according to a recent report from market research firm ...

  Amazon Inc is reportedly willing to help its debt-laden partner Future Group in bringing in a strong, stable investor if the latter calls off its Rs 24,700 crore deal with Reliance Retail Ventures Ltd (RRVL). Amazon which holds 49% stake in Future Coupons, the holding company of the then Kishore Biyani-owned Future Group, helped the latter by bringing in new strategic partners and investors to deal with its ballooning debt crisis.       According to a Mint report, Amazon is willing to help Future Group despite dragging it to the court for alleged violation of a non-compete pact in Future Coupons deal for bringing in RRVL.  The arbitration ruling is expected on or before October 26th. The arbitration ruling will be crucial as it would also decide the fate of Reliance Retail buying out Future Retail.  Amazon’s wish to help Future Group in bringing a strategic investor is borne out of fears that a potential deal Future Group and RRVL will sign...

  Singapore-based investment firm GIC has furnished the Rs 5,512.5 crore subscription amount for a 1.22 percent stake in the retail arm of Reliance Industries (RIL), the Mukesh Ambani-led firm informed exchanges on October 16. "Reliance Retail Ventures Limited, a subsidiary of the Company, today received the subscription amount of Rs 5512.50 crore from Gamnat Pte Ltd and Lathe Investment Pte. Ltd. (GIC) and allotted in the aggregate 80,798,827 equity shares to GIC," RIL said in an exchange filing. Earlier this month,  Reliance had announced the deal with the investment equity  firm which valued Reliance Retail at a pre-money equity value of Rs 4.285 lakh crore. On October 14, RIL had received the Rs 5,550 crore subscription amount from American buyout firm KKR & Co. The latest investments are part of a slew of deals confirmed by RIL in its retail unit, from big-name investors around the world. Earlier, on October 1, RIL ann...

  Government has paved the way for overseas listing of larges Indian companies(Which may not get the desired valuation in India) such as Reliance Jio, Life Insurance Corporation and startups, easing several norms to facilitate the process.   According to a report in the  Times of India , the ministry of corporate affairs (MCA) and the department of economic affairs have agreed to do away with the contentious clause of dual listing, which required a company to list in India as well as overseas. Indian companies can now directly list in seven countries-US, UK, Japan, Germany, France, Canada, South Korea. The list may be expanded later but Hong Kong is a notable exclusion amid India’s border tensions with China.  Further, exchanges operating in the International Financial Centre at GIFT City, which have tie-ups with overseas bourses, can facilitate the stock being traded abroad as well, the publication mentioned citing sources. For instance, if NSE or BSE ties...

  Future Group, which has engaged senior advocate Harish N Salve for its potential legal battle with Amazon, may argue that Future Coupons is not part of the deal with Reliance Retail and involves its listed entities such as Future Retail and Future Lifestyle. Worth mentioning here is that Amazon has sent a notice to Future Coupons over the Group's deal to sell retail assets to Reliance Industries without the US firm's approval. The  Economic Times  citing industry sources familier with Future's strategy, mentioned in a report that in case of a legal confrontation, the deal can not be challenged by Amazon. “Future Retail (FRL) is not party to the case,” the publication quoted one of the sources as saying. FRL is the flagship food and grocery business of the Future Group that houses Big Bazaar, Easyday, HyperCity and Nilgiris. The publication citing a legal expert mentioned that Amazon’s contractual rights to buy Future Retail shares come into force only after 2022 and in ...

  Shares of Billionaire Mukesh Ambani-promoted Reliance Industries rose as much as 4.50 per cent to hit an intraday high of ₹ 2,309.40 on the BSE a day after its retail arm - Reliance Retail Ventures secured an investment of ₹ 5,512.50 crore from Abu Dhabi Investment Authority. Reliance Retail Ventures will sell 1.20 per cent stake in the company to Abu Dhabi Investment Authority, valuing the company at ₹ 4.29 lakh crore. The transaction, latest in a series of investments in Reliance Retail from global investors, is likely to bolster Reliance Industries' retail presence in the domestic market. With this investment, Reliance Industries said its retail unit has raised a total of ₹ 37,710 crore from leading global investors, including Silver Lake and KKR, within four weeks. Last week, Abu Dhabi-based state fund Mubadala invested ₹ 6,247.5 crore in Reliance Retail Ventures for 1.40 per cent stake in the company. Reliance Industries has ...

  Global retail giant Amazon  has sent a  legal notice  to promoters of Future Group for allegedly breaching a non-compete contract over the latter’s deal with  Reliance Industries   NSE -0.81 %  (RIL), ET Now reported on Wednesday. In late August, RIL said its unit Reliance Retail Ventures (RRVL) is acquiring the retail and  wholesale business  and the logistics and warehousing business from the Kishore Biyani-promoted Future Group as going concerns on a slump sale basis for a lump sum total consideration of Rs 24,713 crore. In August 2019,  Amazon  bought a 49 per cent stake in Future Coupons for about Rs 1,500 crore. The latter owns 7.3 per cent stake in  Future Retail   NSE -5.44 %  that operates in more than 1,000 stores under Big Bazaar, Fbb, Foodhall and Easyday Club brands. The notice alleges Future Group did not meet the criteria of its deal. Sandip Ginodia , CEO A LTIUS INVESTECH PVT LTD We deal in o...