Qatar Investment to infuse Rs 8,278 crore for 1% stake in Reliance Retail Ventures

24 Aug 2023 , 09:40 AM

Reliance Industries Ltd (RIL) stated on Wednesday that Qatar Investment Authority (QIA) will invest Rs 8,278 crore in Reliance Retail Ventures, a subsidiary of RIL.

This investment values Reliance Retail Ventures at Rs 8.28 lakh crore in pre-money equity. The Qatari fund’s purchase will result in a nearly 1% share in the retail giant. 

Reliance Retail Ventures raised Rs 47,265 crore in 2020 by selling a stake to a group of worldwide investors. The transaction was then completed at a pre-money equity value of Rs 4.21 lakh crore.

The retail behemoth’s valuation has nearly doubled due to its growth and development. The retail operation has grown to account for the majority of RIL’s SOTP (sum-of-the-parts) valuation.

Reliance Retail is India’s largest and fastest growing retail company, with an integrated omnichannel network of over 18,500 outlets and digital commerce platforms in the grocery, consumer electronics, fashion and lifestyle, and pharmaceutical consumption baskets.

Last month, word broke that a Qatari fund was considering investing close to $1 billion in Reliance Retail. Reliance Retail’s QIA valuation of $100 billion places it above global giants such as Tesco, Carrefour, Uniqlo, and JD.com.

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