Reliance Retail receives full subscription quantity of Rs 2,069.50 cr from KKR, allots 1.71 cr shares

New Delhi, Reliance Retail Ventures Ltd, the retail arm of Reliance Industries, has acquired the complete subscription quantity of Rs 2,069.50 crore from the worldwide funding agency KKR and has allotted 1.71 crore fairness shares. Following the share allotment, KKR’s shareholding in Reliance Retail Ventures Ltd (RRVL) has elevated to 1.42 per cent, from 1.17 per cent.

“Reliance Retail Ventures Ltd as we speak acquired the subscription quantity of Rs 2,069.50 crore from Alyssum Asia Holdings II Pte. Ltd. (KKR) and allotted 1,71,58,752 fairness shares to KKR,” Reliance Industries mentioned in a regulatory submitting on Saturday night.

Earlier this month, Reliance Industries had introduced KKR’s funding of Rs 2,069.50 crore in RRVL, the holding firm of the retail enterprise of billionaire Mukesh Ambani-led group, for a 0.25 per cent extra stake at a valuation of about Rs 8.36 lakh crore.

Based in 1976, KKR has roughly USD 519 billion in property beneath administration as of June 30, 2023.

Earlier this month, RIL acquired Rs 8,278 crore from Qatar Funding Authority (QIA) for round 1 per cent stake in RRVL at a valuation of Rs 8.278 lakh crore (USD 100 billion).

In 2020, RRVL had raised Rs 47,265 crore (round USD 6.4 billion) from world non-public fairness funds for a ten.09 per cent stake, valuing the corporate at greater than Rs 4.2 lakh crore.

This was the most important fundraising train within the sector at the moment.

The corporate had raised funds from Silver Lake, KKR, Mubadala, Abu Dhabi Funding Authority, GIC, TPG, Basic Atlantic and Saudi Arabia’s Public Funding Fund at a valuation of round USD 57 billion at the moment.

RRVL is aggressively increasing its enterprise by buying firms and getting the franchise rights of main worldwide manufacturers for India.

Moreover, it’s investing in scaling up infrastructure and in addition acquired the India enterprise of German retail main Metro Money and Carry.

Final month, within the AGM of Reliance Industries, Chairman Mukesh Ambani mentioned that a number of marquee world strategic and monetary buyers have proven robust curiosity in Reliance Retail.

Addressing shareholders, he had mentioned that if RRVL was listed on inventory exchanges, then primarily based on the present valuation, it might be among the many prime 4 listed entities within the nation.

In lower than three years, the valuation of Reliance Retail has doubled and the tempo of this worth creation is “unmatched globally”, Ambani had mentioned.

In its newest annual report, RIL mentioned Reliance Retail had achieved a big milestone of crossing a billion transactions and its registered consumer base has grown to 249 million.

It operates a community of over 18,500 shops and digital commerce platforms throughout grocery, shopper electronics, vogue & way of life, and pharma consumption baskets.

In FY23, Reliance Retail’s digital commerce and new commerce companies contributed 18 per cent of its income, which stood at Rs 2.60 lakh crore.