Investment firm KKR to invest Rs 2,069cr in Reliance Retail Ventures at equity value of Rs 8.36L cr

Investment firm KKR to invest Rs 2,069cr in Reliance Retail Ventures at equity value of Rs 8.36L cr
Reliance Retail Ventures Limited (RRVL) announced that global investment firm KKR, through an affiliate, will invest Rs 2,069.50 crore into RRVL, a subsidiary of Reliance Industries Limited. This investment values RRVL at a pre-money equity value of Rs 8.361 lakh crore, which makes it among the top four companies by equity value in the country. KKR’s follow-on investment will translate into an additional equity stake of 0.25 percent in RRVL on a fully diluted basis. This, combined with its stake from its investment of Rs 5,550 crore in RRVL in 2020, will take its total equity stake in RRVL to 1.42 percent on a fully diluted basis.
The previous fund-raise round by RRVL in 2020 from various global investors of an aggregate amount of Rs 47,265 crore was done at a pre-money equity value of Rs 4.21 lakh crore. RRVL, through its subsidiaries and associates, operates India's largest, fastest-growing, and most profitable retail business serving 267 million loyal customers with an integrated omni-channel network of over 18,500 stores and digital commerce platforms across grocery, consumer electronics, fashion and lifestyle, and pharma consumption baskets. RRVL’s vision is to galvanize the Indian retail sector through an inclusive strategy serving millions of customers, empowering micro, small and medium enterprises (MSMEs) and working closely with global and domestic companies as a preferred partner to deliver immense benefits to Indian society while protecting and generating employment for millions of Indians.
RRVL, through its New Commerce business, has digitized more than 3 million small and unorganized merchants. This will enable these merchants to use technology tools and an efficient supply chain infrastructure to deliver a superior value proposition to their own customers. 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 eCommerce, 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 Limited, a leading digital services platform and a subsidiary of Reliance Industries Limited. Isha Mukesh Ambani, Director of Reliance Retail Ventures Limited, said, “We are pleased to 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. 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.”
Source: IANS