Billionaire Mukesh Ambani has decided to go big time. On Saturday, Reliance industries announced their latest acquisitions of the Future retail group for a consideration of Rs. 24,713 crores. This acquisition was made to bolster its way in to fast growing retail business.
The company made a statement saying, “Reliance Retail Ventures Ltd (RRVL), subsidiary of Reliance Industries, will acquire the retail and wholesale business and the logistics and warehousing business from the Future Group as going concern on a slump sales basis for lumpsum aggregate consideration of Rs. 24,713 crores.”
This blockbuster deal made between Mukesh Ambani’s- Reliance group with Kishore Biryani’s- Future Group has helped Reliance industries to take over Jeff Bezos’- Amazon. Through this deal, Reliance Retail will now have a direct access to the 1800 stores of the Future group which includes- Future Group’s Big Bazaar, FBB, Easyday, Central, Foodhall formats which are spread in over 42o cities in India.
Even though Reliance industries have taken over the Future Group, the Future Group’s financial and insurance and business is not a part of the deal. For the Reliance group, the oil to chemical conglomerate’s group is one of the largest offline retail stores, and thus the acquisition will help Reliance expand its presence further in offline retail stores.
“With this transaction, we are pleased to provide a home to the renowned formats and brands of Future Group as well as preserve its business ecosystem, which have played an important role in the evolution of modern retail in India. We hope to continue the growth momentum of the retail industry with our unique model of active collaboration with small merchants and kiranas as well as large consumer brands. We are committed to continue providing value to our consumers across the country,” said Isha Ambani, Director, Reliance Retail.
After disrupting the telecom industry with Jio Industries, Mukesh Ambani- the wealthiest man in Asia is on a mission to transform his oil to chemical business in to a consumer service giant business and thus reduce pressure/ dependence on the revenue generated from its traditional business of petrochemicals and oil refining.
On this event, Kishore Biryani said, “We are pleased that our strong retail franchise and brands, that we have created over time, are going in stronger hands and will continue to grow and delight Indian shoppers.”
NEWS REPORTED BY:
VRIDHI BHAGNARI.
CONTACT DETAILS: vridhi.bhagnari1707@gmail.com
