ADIA to invest Rs 4,966.8 crore in Reliance Retail Ventures Limited

The Abu Dhabi Investment Authority will invest Rs 4,966.8 crore into Reliance Industries Limited’s subsidiary Reliance Retail Ventures Limited to fuel its vision to galvanise the Indian retail sector.

“We are pleased to further deepen our relationship with ADIA with their continued support as an investor in Reliance Retail Ventures Limited,” said Reliance Retail Ventures Limited’s executive director Isha Mukesh Ambani in a press release. “Their long-standing experience of over decades of value creation globally will further benefit us in implementing our vision and driving 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.”
 
The transaction is subject to customary approvals and values Reliance Retail Ventures Limited at a pre-money equity value of Rs 8.381 lakh crore. ADIA’s investment in the business will translate into an equity stake of 0.59% on a fully-diluted basis.

“Reliance Retail has demonstrated strong growth and adaptability in a market that is evolving at an unprecedented pace,” said ADIA’s executive director of private equities Hamad Shahwan Aldhaheri. “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.”