•The Public Investment Fund (“PIF”) has signed definitive documentation to acquire a 2.04% equity stake in Reliance Retail Ventures Limited (“RRVL”) •The investment is in line with PIF’s strategy and mandate to invest globally in innovative and transformative businesses that generate long-term commercial
returns
• RRVL, through its subsidiary, is market-leading in the Indian organized physical
retail market and is revolutionizing India’s entire retail sector by further
integrating the Indian retail markets through its ‘New Commerce’ strategy
Reliance Industries Limited (“Reliance Industries”) and
Reliance Retail Ventures Limited (“RRVL”) announced today that The Public Investment
Fund (“PIF”) will invest ₹ 9,555 crores (approximately $1.3 billion) for an equity stake of
2.04% into RRVL, a subsidiary of Reliance Industries. This investment values RRVL at a
pre-money equity value of ₹ 4.587 lakh crore (approximately $62.4 billion). This
investment will further strengthen PIF’s presence in India’s dynamic economy and
promising retail market segment. The investment in RRVL follows PIF’s earlier acquisition
of a 2.32% stake in Jio Platforms, the digital services subsidiary of Reliance Industries.
The transaction is in line with PIF’s strategy as a leading global investor with a proven
track record of investing in innovative and transformative companies globally and develop
strong partnerships with leading groups in their respective markets. India’s retail sector
is one of the largest in the world and accounts for over 10% of its gross domestic product
(GDP) which presents meaningful growth potential.
Mr. Mukesh Ambani, Chairman and Managing Director of Reliance Industries, said:
“We at Reliance have a long-standing relationship with the Kingdom of Saudi Arabia. PIF
is at the forefront of the economic transformation of the Kingdom of Saudi Arabia. I
welcome PIF as a valued partner in Reliance Retail and look forward to their sustained
support and guidance as we continue our ambitious journey to transform India’s retail
sector for enriching the lives of 1.3 billion Indians and millions of small merchants.”
His Excellency Yasir Al-Rumayyan, Governor of PIF, said: “We are pleased to be
furthering our trusted partnership with Reliance Industries, the leading player in some of
India’s most exciting sectors. This transaction demonstrates PIF’s commitment to
investing and partnering for the long-term with innovative businesses around the world
that lead and transform their sectors.”
“This investment further demonstrates PIF’s commitment to generating returns for the
Saudi people and driving the economic diversification of Saudi Arabia.”
Reliance Retail Limited, a subsidiary of RRVL, operates India’s largest, fast-growing retail
business serving close to 640 million footfalls at its ~12,000 stores across the country.
Reliance Retail’s vision is to galvanize the Indian retail sector through its new commerce
strategy, serving millions of customers by empowering millions of micro, small and
medium enterprises (MSMEs).
About Reliance Industries Limited (RIL)
RIL is India’s largest private sector company, with a consolidated turnover of ₹ 659,205
crore ($87.1 billion), cash profit of ₹ 71,446 crore ($9.4 billion), and net profit of ₹ 39,880
crore ($5.3 billion) for the year ended March 31, 2020.
RIL’s activities span hydrocarbon exploration and production, petroleum refining and
marketing, petrochemicals, retail and digital services. RIL is the top-most ranked company
from India to feature in Fortune’s Global 500 list of ‘World’s Largest Companies’ – currently
ranking 96th. The company stands 71st in the ‘Forbes Global 2000’ rankings for 2019 –
top-most among Indian companies. It ranks 10th among LinkedIn’s ‘The Best Companies
to Work For In India’ (2019).
About Reliance Retail Ventures Limited
Reliance Retail Ventures Limited is a subsidiary of Reliance Industries Limited, and
holding company of all the retail companies under the RIL Group. RRVL reported a
consolidated turnover of ₹ 162,936 crore ($ 21.7 billion) and net profit of ₹ 5,448 crore
($ 726.4 million) for the year ended March 31, 2020.
Reliance Retail topped the list of ‘50 fastest-growing retailers globally between FY2013-
2018’ in the Deloitte’s Global Powers of Retailing 2020 index. Reliance Retail secured the
56th spot this year against the 94th rank the previous year and is the only Indian company
to be featured in this list.
About The Public Investment Fund
The Public Investment Fund is one of the largest and most impactful sovereign wealth
funds in the world, driving the economic transformation of Saudi Arabia for the benefit of
its people while helping shape the future global economy. PIF is building a world-class
portfolio through investments in attractive, long-term opportunities across diverse
industries and asset classes internationally, while unlocking new sectors at home. PIF
works alongside global strategic partners and renowned investment managers, and acts
as the Kingdom of Saudi Arabia’s primary investment arm aiming toward generating longterm value for the Kingdom of Saudi Arabia in line with Vision 2030.
