KKR invests ₹5,550 crore in Reliance Retail Ventures, acquires 1.28% stake

Reliance Industries Limited (Reliance Industries) and Reliance Retail Ventures Limited (RRVL) on Wednesday announced that the investment firm KKR will invest ₹5,550 crore into RRVL, a subsidiary of Reliance Industries.

This investment values Reliance Retail at a pre-money equity value of ₹4.21 lakh crore. With the latest investment, KKR will acquire 1.28% equity stake in RRVL on a fully diluted basis.

Morgan Stanley acted as financial advisor to Reliance Retail and Cyril Amarchand Mangaldas and Davis Polk & Wardwell acted as legal counsels. Deloitte Touche Tohmatsu India LLP acted as financial advisor to KKR. Shardul Amarchand Mangaldas & Co. and Simpson Thacher & Bartlett LLP acted as legal counsel to KKR.

It is also KKR’s second investment in Reliance. The investment firm had invested ₹11,367 crore in Jio Platforms earlier this year.

“I am pleased to welcome KKR as an investor in Reliance Retail Ventures as we continue our onward march to growing and transforming the Indian Retail ecosystem for the benefit of all Indians. KKR has a proven track record of being a valuable partner to industry-leading franchises and has been committed to India for many years. We look forward to working with KKR’s global platform, industry knowledge and operational expertise across our digital services and retail businesses," said Mukesh Ambani, Chairman and Managing Director of Reliance Industries.

Earlier, the US-based equity firm Silver Lake had announced an investment of ₹7,500 crore in Reliance Retail. It also acquired a 1.75% stake in RRVL on a fully diluted basis.