Reliance Retail Ventures Ltd, which raised $1 billion from Silver Lake Partners on Wednesday, is set to draw additional investments worth $5 billion from KKR and Co., Mubadala Investment Co. and Abu Dhabi Investment Authority (ADIA), two people directly aware of the negotiations said.
California-based private equity fund Silver Lake, an investor in Reliance Industries Ltd’s Jio Platforms unit, picked up a 1.75% stake in Reliance Retail Ventures for ₹7,500 crore, valuing the company at ₹4.21 trillion, or $57 billion.
“The discussions with KKR, Mubadala and Abu Dhabi Investment Authority are in an advanced stage, and more existing investors may follow suit as Reliance continues to talk to external investors,” said one of the two people cited above.
KKR, Mubadala and Abu Dhabi Investment Authority are slated to invest around $1 billion each, the people cited above said on condition of anonymity. The fresh round of investments in the retail business will give parent Reliance Industries more firepower to take on strong rivals such as Amazon and Walmart-owned Flipkart for supremacy in the Indian organized retail space, where Reliance Retail is aiming to corner a significant market share through an omnichannel approach, analysts said.-Livemint