Reliance Industries (RIL) retail arm has acquired majority stakes worth Rs182.12cr in Urban Ladder Home Décor Solutions Private Limited (UrbanLadder). The Reliance Retail Ventures (RRVL) this investment translates into 96% holding in UrbanLadder.
RIL has already informed for further investment in UrbanLadder through the retail arm, taking the overall shareholding to 100%.
In its regulatory filing, RIL said, "Reliance Retail Ventures Limited (RRVL), a subsidiary of Reliance Industries Limited (RIL) has acquired equity shares of Urban Ladder Home Décor Solutions Private Limited for a cash consideration of Rs182.12cr. The said investment represents ~96% holding in the equity share capital of UrbanLadder."
Further, RIL said, "RRVL has a further option of acquiring the balance stake, taking its shareholding to 100% of the equity share capital of UrbanLadder."
With that, Reliance Retail has proposed to make an additional investment of Rs75cr in UrbanLadder, which is expected to be completed by December 2023.
RIL said, "The aforesaid investment will further enable the group’s digital and new commerce initiatives and widen the bouquet of consumer products provided by the group, while enhancing user engagement and experience across its retail offerings."
Incorporated since February 17, 2012, UrbanLadder is in the business of operating a digital platform for home furniture and décor products. It also has a chain of retail stores in several cities across India.
On Tuesday's trading session, RIL stock currently has pared early gains and was trading at Rs2000 per piece flat compared to the previous closing on Sensex at around 11.37 am.
RIL stock opened at an intraday high of Rs2,084 per piece, however, has also corrected to the day's low of Rs1,995 per piece.