"Reliance in Golden Decade": Mukesh Ambani led multinational conglomerate Becomes Net Debt-Free
Jun 19, 2020
Editor: Ekta Joshi
In delivering on a promise given to shareholders in August last year, Reliance has become net debt-free by raising Rs 168,818 crores in two months through the largest ever-rights issue in the country and a series of stake sales deals in its Jio Platforms arm.
While India was subjected to a lockdown due to the Covid-19 pandemic, the conglomerate raised Rs 53,124.20 by offering shares to existing shareholders, and another Rs 115,693.95 by selling Jio Platforms stake through 11 deals. Chairman Mukesh Ambani said, “I have fulfilled my promise to the shareholders by making Reliance net debt-free much before our original schedule of 31st March 2021.
He assured shareholders that in its ‘golden decade,’ RIL NSE 6.25 % will set even more ambitious growth goals and achieve them. Remarking further, he added, "On the proud occasion of becoming a net debt-free company, I wish to assure them that Reliance in its Golden Decade will set even more ambitious growth goals, and achieve them, in fulfillment of the vision of our Founder, Dhirubhai Ambani, to consistently increase our contribution to India's prosperity and inclusive development." RIL on Thursday (June 18, 2020) announced the 11th investment in Jio Platforms with the Public Investment Fund (PIF) of Saudi Arabia purchasing a 2.32 percent stake in the company for Rs 11,367 crores. PIF joins a list of international investors including Abu Dhabi’s two largest sovereign investment arms — Abu Dhabi Investment Authority and Mubadala, private equity firms Silver Lake, Vista Equity Partners, General Atlantic, KKR, TPG, L Catterton and Facebook with its latest investment in Jio Platforms. The said companies collectively own a 24.70% stake in the reliance subsidiary at present. In a report on June 10, 2020, Bernstein had stated that the RIL-Facebook partnership could emerge as a core platform for India's digital economy and as more consumers and small businesses move online it could unlock a $2 trillion digital market. Ambani had announced the target of making the group net-debt free at Reliance Industries' 42nd annual general meeting in August 2019, saying the group has "a very clear road map" to make it happen within the next 18 months.
General Atlantic to Invest ₹ 3,675 Crore in Reliance Retail Ventures
Oct 01, 2020
Editor: Ekta Joshi
Mumbai, Reliance Industries Limited (“Reliance Industries”) and Reliance Retail Ventures Limited (“RRVL”) announced today that General Atlantic, a leading global growth equity firm, will invest ₹ 3,675 crores into RRVL, a subsidiary of Reliance Industries. This investment values Reliance Retail at a pre-money equity value of ₹ 4.285 lakh crore. General Atlantic’s investment will translate into a 0.84% equity stake in RRVL on a fully diluted basis.This marks the second investment...
Mukesh Ambani led Reliance Industries’ subsidiary Reliance Retail Ventures Limited (RRVL) on Sunday (August 30,2020) announced to acquire the Retail & Wholesale Business and the Logistics & Warehousing Business from the Future Group, the owner of the largest retail chain Big Bazaar and in-house brand FBB, for Rs 24,713 crores.The acquisition has been done as part of the scheme in which Future Group is merging certain companies carrying on the aforesaid businesses into Future...