Reliance Retail Ventures Limited (RRVL) on Monday announced that global investment firm KKR , through an affiliate, will invest Rs 2,069.50 crore in it.
RRVL is a subsidiary of Reliance Industries Limited, and this investment values it at a RRVL at a pre-money equity value of Rs 8.361 lakh crore, making it among the top four companies by equity value in India.
From 1.17 per cent, the total equity stake in RRVL is now hiked to 1.42 per cent if combined with its investment of Rs 5,550 crore done in 2020.
The previous fund-raise round by RRVL in 2020 was of an aggregate amount of Rs 47,265 crore and was done at a pre-money equity value of Rs 4.21 lakh crore.
Reacting to the investment, RRVL Director Isha Mukesh Ambani said that the company was pleased receive continued support from KKR as an investor in Reliance Retail Ventures Limited.
“We highly value our deepening partnership with KKR, and their latest investment in RRVL after their previous investment further reinforces their strong belief in RRVL’s vision and capabilities,” Isha said.
“We look forward to continued engagement with KKR and to benefit from
their global platform, industry knowledge and operational expertise, in our journey towards driving transformation of the Indian retail sector,” she added.
KKR Co-Ceo, Joe Bae also expressed his thoughts and said that the company was pleased to extend the relationship with RRVL.
“Throughout our investment period in Reliance Retail, we have been impressed by the company’s vision and extensive work to empower retailers across India through digitalization, as well as by its resilience and performance in spite of the pandemic and other disruptions,” Bae said.
“We look forward to continuing to work alongside the Reliance Retail team to support the company’s mission to build a more inclusive Indian retail economy,” he highlighted.
Reliance Retail Ventures Limited (RRVL)
RRVL, through its subsidiaries and associates, operates India’s largest, fastest growing, and most profitable retail business. It serves 267 million customers and over 18,500 stores and digital commerce platforms across grocery, consumer electronics, fashion & lifestyle, and pharma consumption baskets.
RRVL’s vision is to galvanize the Indian retail sector through an inclusive strategy and serve millions of customers, empowering micro, small and medium enterprises (MSMEs) and working closely with global and domestic companies.
The company through its New Commerce business digitized over 3 million small and unorganised merchants, enabling them to use technology tools and an efficient supply chain infrastructure to deliver a superior value proposition to their own customers.
What is KKR?
Founded in 1976, KKR has approximately $519 billion in assets under management as of June 30, 2023.
KKR has a long history of building leading global enterprises that are at the forefront of technology and digital transformation, including in the areas of consumer retail and e-commerce, as well as a track record of supporting leading corporations in India.
KKR’s follow-on investment in RRVL furthers its relationship with Reliance Industries Limited.
In addition to its investment in RRVL, KKR is also an investor in Jio Platforms.
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