RIL shares were trading over Rs 2,100 apiece after rising nearly 3 per cent on the stock market. The RIL stock was also one of the top gainers in the BSE pack.
Future Group Stocks rose as much as 5%
Shares of Future Group companies jumped 5 per cent after stock exchanges approved the group s Rs 24,713 crore-deal to sell its retail assets to Mukesh Ambani-led conglomerate Reliance Industries. The approval takes Future, which operates supermarkets like Big Bazaar and high-end food stores such as Foodhall, a step closer towards sealing a deal that will create country s groceries market leader.
The deal had soured ties with Future s business partner Amazon.com Inc, which alleged the transaction breached agreements with Future made in 2019. Amazon raised legal and regulatory challenges to the deal.
Future Retail shares, which soared in August after the deal was announced, ended 2020 around 77 per cent lower on Amazon s challenge.
In August 2020, Reliance Retail Ventures Limited (RRVL), a subsidiary of Reliance Industries, had announced that it was acquiring the retail and wholesale business, logistics and warehousing business from the Future Group
Mumbai (Maharashtra) [India], January 21 (ANI): The Securities and Exchange Board of India (SEBI) has approved the Rs 24, 713 crore deal between Kishore Biyani-led Future Group and Reliance Retail.
SEBI approves Reliance Retail–Future Group deal, with caveats
January 21, 2021
The Securities and Exchange Board of India has given its go-ahead for Reliance Retail’s acquisition of Future Retail Limited’s retail, logistics and warehousing entities, according to a letter sent to Future Retail by the Bombay Stock Exchange. This is one of several more clearances that the deal, valued at ₹24,713 crore, will require before it is finalized. Shareholders and the National Company Law Tribunal will have to okay the deal as well.
The deal is facing resistance from Amazon, which obtained an arbitration order from the Singapore International Arbitration Centre last year putting the transaction on hold, claiming an earlier investment it made in a promoter entity of Future gave it the option of vetoing this deal. However, Reliance and Future Retail have been moving ahead, fighting against Amazon’s claim in court, even as it insists to regulators that the company’s claims have no me