Singapore's GIC, TPG to Invest $1 Billion in Reliance Retail

   By P.R. Venkat 
 

Singapore sovereign wealth fund GIC Pte. Ltd. and private-equity firm TPG Inc. have agreed to invest a total of 73.50 billion rupees ($1.00 billion) in the retail venture of Indian conglomerate Reliance Industries Ltd.

GIC will invest INR55.12 billion for a 1.22% stake, while the U.S. private-equity firm will invest INR18.38 billion for a 0.41% stake in Reliance Retail Ventures Ltd., the Indian company said Saturday.

The investment translates to a pre-money value of INR4.29 trillion for Reliance Retail.

“We believe Reliance Retail will continue to use its extensive supply chain and store networks, as well as strong logistics and data infrastructure, to add value to its customers and shareholders,” GIC Chief Executive Lim Chow Kiat said.

Foreign companies have been investing heavily in various Reliance Industries businesses such as its retail and telecommunications operations.

Last week, Abu Dhabi-based sovereign investor Mubadala Investment Co. agreed to invest over $800 million for a stake in Reliance Retail. Other firms investing in the company include General Atlantic LLC, KKR & Co. and Silver Lake.

Earlier this year, companies such as Facebook Inc., Vista Equity Partners, KKR and Saudi Arabia’s sovereign wealth fund, the Public Investment Fund, poured billions of dollars into the telecommunications unit.

Reliance Retail operates India’s largest and fastest-growing retail business, with close to 640 million footfalls across its more than 12,000 stores nationwide.

 

Write to P.R. Venkat at venkat.pr@wsj.com

 

(END) Dow Jones Newswires

October 04, 2020 20:05 ET (00:05 GMT)

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