When start-ups are waiting for investments, big companies are raising funds like never before. This lockdown created a huge impact on start-ups. Many start-ups got are no more due to no funds. But companies like Reliance are raising huge funds from other huge companies. Earlier, Reliance Jio was the one who got huge funds, and now Reliance Retail is raising funds.
All Information Regarding the Investment
Now, a company from Saudi Arabia is coming forward to invest in Reliance Retail Ventures Ltd (RRVL). This company is going to invest Rs 9,555 crore ($1.3 billion). After investing, the company will have or own a 2.04 percent stake in Reliance Retail. Reliance is a huge conglomerate and has different subsidiaries. And Reliance Retail is one of the subsidiaries of the company. This investment values RRVL at a pre-money equity value of Rs 4.587 lakh crore ($62.4 billion).
Earlier, Public Investment Fund (PIF) acquired a 2.32% stake in the Jio Platforms. That is also a subsidiary of Reliance. And again it is investing in an Indian company. With this investment, PIF is trying to diversify itself in India. Now, it will be present in the digital as well as the retail sectors of India.
Public Investment Fund is one of the largest sovereign wealth funds in the world. They are the main company to drive the economic transformation of Saudi Arabia. Mukesh Ambani, Chairman, and MD of RIL said: “We at Reliance have a long-standing relationship with the Kingdom of Saudi Arabia. PIF is at the forefront of the economic transformation of the Kingdom of Saudi Arabia.”
About Reliance Retail Ventures Ltd (RRVL)
Reliance Retail Ventures Limited is an auxiliary organization of Reliance Industries Limited. Established in 2006, it is the biggest retailer in India as far as income. V Subramaniam is the CEO of the endeavor. Its retail sources offer nourishments, food supplies, attire and footwear, way of life and home improvement items, electronic products, and homestead executes and inputs. The organization’s sources likewise give vegetables, natural products, and blossoms. It centers around shopper products, purchaser durables. It had an aggregate of 11,784 stores in April 2020 in India with a region of over 28.7 million square feet. And they are across India in excess of 7000 towns and urban communities, with a yearly income of over ₹162 billion ($23 bn US).