Reliance Industries(RIL) on Wednesday confirmed that co-investor of Silver Lake will modify their deal by investing an additional sum of Rs 1,875 crore in its retail unit.
The recent development will take the total investment by Silver Lake and its-co investors in the venture to Rs 9,375 crore. They will hol a 2.13 per cent equity stake in Reliance Retail Ventures, an official statement said.
“Silver Lake and its co- investors are valued partners on our journey to transform Indian Retail for the benefit of all Indians. We are pleased to have their confidence and support, as well as the benefit of their leadership in global technology investing and their valued network of relationships for the Retail revolution in India,”Mukesh Ambani, chairman and managing director of RIL said in a release.
“Silver Lake’s additional investment is a strong endorsement of the tremendous potential of Indian retail and the capabilities of Reliance Retail.”
This latest investment — the second on September 30 and fourth in three weeks — values Reliance Retail at a pre-money equity value of ₹ 4.285 lakh crore, RIL said in an exchange filing.
Earlier in the day, RIL introduced a new deal with growth equity General Atlantic. According to the company, General Atlantic will invest Rs 3,675 crore into Reliance Retail Ventures for a 0.84 per cent stake.
Reliance Retail has been boosting its relations with overseas investors. In past few weeks, RIL has collected a combined Rs 18,600 crore in the past few weeks from investors including US buyout firm KKR & Co and General Atlantic.
Meanwhile,Egon Durban, Co-CEO and Managing Partner of Silver Lake, commenting on the deal, said, “We are delighted to increase our exposure and bring more of our co-investors into this unmatched opportunity. The continued investment momentum over the last few weeks is proof of the compelling vision and business model of Reliance Retail – and underscores the tremendous potential of the transformative New Commerce initiative.”
