India’s largest company in terms of market capitalization, Reliance Industries Limited has been minting cash left and right across all its ventures. And RIL’s massive digital behemoth Reliance Jio Platforms has seen over $20Bn invested in so far.
And now Aisa’s richest man & RIL’s president, Mukesh Ambani is eyeing to India’s huge retail sector. According to the report in Mint Reliance Industries Ltd (RIL) is close to buying Future Group’s retail assets for $3.6 billion (~ ₹27,000 crores).
Actually, after raising the huge funding (may get more soon) Reliance Industries Ltd (RIL) wants to bolster its position in India’s retail segment, according to two people familiar with the details of the deal.
Interestingly, in that report, sources suggested that, Five listed entities, including Future Retail Ltd, Future Consumer, Future Lifestyle Fashions, Future Supply Chain, and Future Market Networks, will be merged into Future Enterprises Ltd (FEL) before the sale of the assets.
So, as part of the deal, fashion, and grocery retail formats from Future Group’s listed entities such as Big Bazaar, FoodHall, Nilgiris, FBB, Central, Heritage Foods, and Brand Factory, barring apparel brands Lee Cooper and All, will be acquired by RIL. In all, over 1,700 stores across formats are expected to go to RIL.
According to the report, RIL is also likely to absorb partnerships that the Future Group has with foreign brands and retailers. The interesting part is this development comes when Biyani’s Future Group has accumulated heavy debt.
Meantime, would like to confirm that neither RIL nor Future Group has offered any confirmation about the deal publicly yet. Reliance’s existing retail operation already runs close to 12,000 stores, including a cash-and-carry wholesale business, in over 6,700 Indian towns and cities.