Reliance Industries Limited and Reliance Retail Ventures Limited (RRVL) announced today that GIC will invest Rs. 5,512.5 crore into RRVL, a subsidiary of Reliance Industries. 

 

This investment values RRVL at a pre-money equity value of Rs. 4.285 lakh crore. GIC’s investment will translate into a 1.22% equity stake in RRVL on a fully diluted basis.

 

Reliance Retail Limited, a subsidiary of RRVL, operates India's fastest growing and most profitable retail business serving close to 640 million footfalls across its around 12,000 stores nationwide. Reliance Retail’s vision is to galvanize the Indian retail sector through an inclusive strategy serving millions of customers by empowering millions of farmers and 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. 

 

Mukesh Ambani, Chairman and Managing Director of Reliance Industries said, “GIC’s global network and track record of long-term partnerships will be invaluable to the transformation story of Indian Retail. This investment is a strong endorsement of our strategy and India’s potential.”

 

Lim Chow Kiat, Chief Executive Officer, GIC said, “GIC is pleased to partner with Reliance through this new investment, which will enable the company to position Reliance Retail for the strong secular growth in India’s retail market. We believe Reliance Retail will continue to use its extensive supply chain and store networks, as well as strong logistics and data infrastructure, to add value to its customers and shareholders.”

 

The transaction is subject to regulatory and other customary approvals.