TPG to invest $250.65 mn into Reliance Retail Ventures

Global asset management firm’s 2nd investment in Reliance Group

MUMBAI/October 3: The global investment firm TPG will invest Rs1,837.5 crore ($250.65 million) into Reliance Retail Ventures Ltd (RRVL), a subsidiary of Reliance Industries, according to a statement from the Reliance group.

This investment values Reliance Retail at a pre-money equity value of Rs4.285 lakh crore ($58.36 billion) and TPG’s investment will translate into a 0.41 per cent% equity stake in RRVL on a fully diluted basis.

This marks the second investment by TPG in a subsidiary of Reliance Industries, following a Rs4,546.8 crore investment in Jio Platforms announced earlier this year.

Reliance Retail Ltd, a subsidiary of RRVL, operates India’s largest, fastest growing and most profitable retail business serving close to 640 million footfalls across its approximately 12,000 stores nationwide.

The statement said that Reliance Retail’s vision is to galvanise the Indian retail sector through an inclusive strategy serving millions of customers by empowering millions of farmers and micro, small and medium enterprises (MSMEs).

Reliance Retail seeks to work 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.

Reliance Retail, through its New Commerce strategy, has started a transformational digitalisation of small and unorganised merchants and is committed to expanding the network to over 20 million of these merchants.

This, according to Reliance Retail, will enable the merchants to use technology tools and an efficient supply chain infrastructure to deliver a superior value proposition to their own customers.

TPG is a leading global alternative asset firm founded in 1992 with more than $83 billion of assets under management across a wide range of asset classes, including private equity, growth equity, real estate and public equity.

Over TPG’s nearly 30-year history, the firm has built an ecosystem made up of hundreds of portfolio companies and a value-added network of professionals, executives, and advisors around the world. By offering institutional support and global resources, TPG enables these companies to reach their full potential and unlock greater possibilities.

Mukesh Ambani (seen in the picture) , Chairman and Managing Director of Reliance Industries, said TPG has a proven track record of being a valuable partner to global technology businesses and industry leaders and hence Reliance group looks forward to their guidance and support in the journey forward.

Isha Ambani, Director of Reliance Retail, said the group is delighted to welcome TPG to the Reliance Retail family in its journey of revolutionising the Indian Retail landscape and improving the economic prospects of millions of merchants and enhancing consumer experience.

 

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