General Atlantic, a global growth equity firm, will invest ₹3,675 crore into Reliance Retail Venture, 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 per cent equity stake in RRVL on a fully diluted basis.
This marks the second investment by General Atlantic in a subsidiary of Reliance Industries, following a ₹6,598.38-crore investment in Jio Platforms announced earlier this year.
This is the third investment into Reliance Retail after Silver Lake and KKR.
Mukesh Ambani, Chairman and Managing Director of Reliance Industries, said, “Like Reliance Retail, General Atlantic believes in the fundamental ability of digital enablement to drive progress, growth, and inclusion across India and the world. We look forward to leveraging General Atlantic’s extensive expertise at the intersection of technology and consumer businesses, and two decades of experience investing in India, as we create a disruptive New Commerce platform to redefine retail in the country.”
Bill Ford, Chief Executive Officer of General Atlantic, said, “General Atlantic shares Reliance Industries’ foundational belief in the power of technology to foster transformative growth, and we are excited by the immense potential of the full Reliance ecosystem.”
Morgan Stanley acted as financial advisor to Reliance Retail and Cyril Amarchand Mangaldas and Davis Polk & Wardwell acted as legal counsels. Shardul Amarchand Mangaldas & Co and Paul, Weiss, Rifkind, Wharton & Garrison LLP acted as legal counsel to General Atlantic.