Reliance Retail Ventures Ltd (RRVL), a subsidiary of Reliance Industries Ltd (RIL), has announced a significant investment of INR 4,966.80 Crores from a wholly-owned subsidiary of the Abu Dhabi Investment Authority (ADIA). This capital injection has propelled RRVL’s pre-money equity valuation to a stellar INR 8.38 Trillion, placing it firmly among the top four companies by equity value in India.
The investment translates to a 0.59% equity stake for ADIA on a fully-diluted basis. This marks a continued association between ADIA and RRVL, following ADIA’s earlier investment in the 2020 fundraising round where it acquired a 1.18% stake for INR 5,512.50 Crores.
RRVL has also recently raised funds from notable investors such as the Qatar Investment Authority and KKR. Morgan Stanley played the role of financial advisor to RRVL, with legal advisories extended by Cyril Amarchand Mangaldas and Davis Polk & Wardwell.
Isha Mukesh Ambani, Executive Director of RRVL, expressed her gratitude towards ADIA for its sustained support and acknowledged ADIA’s long-standing global experience in value creation as a valuable asset for implementing RRVL’s vision. She emphasized that ADIA’s investment is a testament to its faith in the Indian economy, RRVL’s business fundamentals, and its strategic and execution capabilities.
RRVL, through its extensive network of over 18,500 stores and digital commerce platforms, spearheads India’s largest retail business, spanning across grocery, consumer electronics, fashion, lifestyle, and pharma sectors.
Hamad Shahwan Aldhaheri, Executive Director (ED) of the Private Equities Department at ADIA, lauded Reliance Retail for its robust growth and adaptability in a swiftly evolving market. He remarked that this investment aligns with ADIA’s strategy of supporting transformative ventures within their portfolio and expressed enthusiasm about partnering with the Reliance Group to further explore India’s dynamic consumer sector.
This investment is a significant endorsement of RRVL’s continuous efforts to revolutionize the Indian retail sector, showcasing a positive trajectory and promising prospects for both Reliance Retail and its esteemed investors.
