One of the biggest sovereign wealth funds in the world, Abu Dhabi Investment Authority (ADIA), is considering increasing its holding in Mukesh Ambani’s retail conglomerate. According to a story in The Economic Times, ADIA is looking to invest $600 million in Reliance Retail.

A brief about in RIL’s retail division, Abu Dhabi Investment Authority is most likely to invest $600 million

ADIA, a globally diversified investment firm founded in 1976, makes careful investments on behalf of the Abu Dhabi government with a long-term wealth development strategy. Since 1989, ADIA has made private equity investments and has amassed a sizable internal team of experts with exposure to a variety of asset classes, regions, and industries.

ADIA earlier made a financial commitment to Reliance Retail Ventures Limited (RRVL), purchasing a 1.2% interest for Rs 5,512.50 crore ($751 million) in October 2020. “The investment by ADIA is a further endorsement of Reliance Retail’s performance and potential and the inclusive and transformational New Commerce business model that it is rolling out,” Mukesh Ambani, Chairman and Managing Director of Reliance Industries, had stated at the time.

Reliance Retail Ventures Ltd, the retail division of Reliance Industries, announced this week that it had received the full Rs 2,069.50 crore subscription amount from the international investment company KKR and had allotted 17.1 million equity shares.

After the share distribution, KKR’s ownership of RRVL rose to 1.42 percent from 1.17 percent.

In a regulatory filing, Reliance Industries stated that “Reliance Retail Ventures Ltd. received the subscription amount of Rs 2,069.50 crore from Alyssum Asia Holdings II Pte. Ltd. (KKR) and allotted 17,158,752 equity shares to KKR.”

Through its subsidiaries and affiliates, RRVL manages an integrated omni-channel network of more than 18,500 stores and digital commerce platforms for the grocery, consumer electronics, fashion and lifestyle, and pharmaceutical industries. Through its new commerce initiative, RRVL has partnered with more than 3 million merchants.

For the fiscal year that ended on March 31, 2023, RRVL recorded a combined revenue of Rs 2,60,364 crore ($31.7 billion) and a net profit of Rs 9,181 crore ($1.1 billion).

The post In RIL’s retail division, Abu Dhabi Investment Authority is most likely to invest $600 million appeared first on SomMarketer.