US private equity firm KKR & Co will invest Rs 5,550 crore to buy a 1.28 per cent stake in Reliance Industries Ltd’s retail arm as the Mukesh Ambani-run conglomerate extends fundraising spree that has already netted more than USD 20 billion.
“KKR will invest Rs 5,550 crore into Reliance Retail Ventures Ltd (RRVL), a subsidiary of Reliance Industries Ltd,” the Indian firm said in a statement.
The investment values Reliance Retail, which runs grocery stores and fashion chains, at a pre-money equity value of Rs 4.21 lakh crore.
“KKR’s investment will translate into a 1.28 per cent equity stake in RRVL on a fully diluted basis,” it said.
This is the second investment by KKR in Reliance Industries (RIL) units. It had previously picked up a 2.32 per cent stake in the digital arm, Jio Platforms for Rs 11,367 crore.
For Reliance Retail, KKR is the second investor. US private equity firm Silver Lake Partners had earlier this month agreed to buy 1.75 per cent stake in the venture for Rs 7,500 crore.