KKR to invest Rs 2,069.5cr in Reliance Retail Ventures Limited

Global investment firm KKR will invest ₹2,069.50 crore in Reliance Retail Ventures Limited (RRVL), a subsidiary of Reliance Industries Limited. The investment elevates RRVL’s pre-money equity value to ₹8.361 lakh crore, ranking it among India‘s top four companies by equity value.

KKR’s Follow-On Investment and Equity Stake

The additional investment will result in a 0.25% increase in KKR’s equity stake in Reliance Retail Ventures on a fully-diluted basis. Along with its previous investment of ₹5,550 crore in 2020, KKR’s total equity stake in Reliance Retail Ventures will now reach 1.42%. It’s worth noting that Reliance Retail Ventures’ prior fundraising in 2020 amounted to ₹47,265 crore at a pre-money equity value of ₹4.21 lakh crore.

Overview of Reliance Retail Ventures Limited

Reliance Retail Ventures, operating through its subsidiaries and associates, stands as India’s most extensive, rapidly growing, and profitable retail enterprise. The company has an integrated omnichannel network of over 18,500 stores and digital platforms, serving 267 million loyalty customers across various sectors like groceries, consumer electronics, fashion, lifestyle, and pharmaceuticals.

Reliance Retail Ventures Strategic Vision

Reliance Retail Ventures aims to transform the Indian retail industry through inclusive strategies that empower micro, small and medium enterprises (MSMEs) and serve millions of customers. The company has digitized more than three million small and unorganized merchants, enabling them to leverage technology tools and efficient supply chain infrastructure.

KKR’s Historical Investments and Comments from Executives

Founded in 1976, KKR manages approximately $519 billion in assets. It has a history of investing in global enterprises at the forefront of digital transformation. KKR’s additional investment in RRVL complements its ongoing relationship with Reliance Industries Limited and its other investments in India, including Jio Platforms Limited.

Isha Mukesh Ambani, Director of Reliance Retail Ventures, said, “We are pleased to receive continued support from KKR as an investor in Reliance Retail Ventures Limited. We highly value our deepening partnership with KKR.”

Joe Bae, Co-CEO of KKR, added, “We are pleased to extend our relationship with Reliance Retail Ventures Limited. We look forward to continuing to work alongside the Reliance Retail team.”

Gaurav Trehan, Head of Asia Pacific Private Equity and Head of India at KKR, stated, “Reliance Retail is a true corporate leader and innovator in India. We are pleased to have the opportunity to continue collaborating with this team.”