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General Atlantic to buy stakes worth INR 3675 cr in Reliance Retail

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Billionaire Mukesh Ambani-led Reliance Industries Limited and Reliance Retail Ventures Limited on Wednesday announced that the General Atlantic will invest ₹ 3,675 crore into RRVL, a subsidiary of Reliance Industries.

This investment values Reliance Retail at a pre-money equity value of INR 4.285 lakh crore. With this investment, General Atlantic will translate into a 0.84% equity stake in RRVL on a fully diluted basis.

This is the second investment by General Atlantic in a subsidiary of Reliance Industries, following an INR 6,598.38 crore investment in Jio Platforms announced earlier this year.

In the past few weeks, Reliance Retail has collected a combined INR 13,050 crore from private equity company Silver Lake Partners and US buyout firm KKR & Co in exchange for 1.75% and 1.28% stakes, respectively.

“I am pleased to extend our relationship with General Atlantic as we work towards empowering both merchants and consumers alike, and ultimately transforming Indian Retail. Like Reliance Retail, General Atlantic believes in the fundamental ability of digital enablement to drive progress, growth, and inclusion across India and the world. We look forward to leveraging General Atlantic’s extensive expertise at the intersection of technology and consumer businesses, and two decades of experience investing in India, as we create a disruptive New Commerce platform to redefine retail in the country.”

~ Mukesh Ambani, Chairman and Managing Director of Reliance Industries,

“General Atlantic is thrilled to be backing Mukesh’s New Commerce mission to drive substantial positive change in the country’s retail sector, which goes hand-in-hand with his vision to enable a Digital India through the work of Jio Platforms. General Atlantic shares Reliance Industries’ foundational belief in the power of technology to foster transformative growth, and we are excited by the immense potential of the full Reliance ecosystem. We are honored to again be partnering with the Reliance team to meaningfully accelerate India’s position in the global digital economy.”

~ Bill Ford, Chief Executive Officer of General Atlantic

Reliance is India’s biggest retailer with roughly 12,000 stores and has been looking to expand its so-called new e-commerce venture as it vies for market share in India’s growing retail space.

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