Saudi Arabia’s wealth fund purchases 2.04% stake in Reliance Retail Ventures

Mukesh Ambani, chairman of Reliance Industries, speaks through the Vibrant Gujarat World-wide Investors’ Summit 2011 (VGGIS) at Gandhinagar in Gujarat January 12, 2011. REUTERS/Amit Dave/File Image

DUBAI (Reuters) – Saudi Arabia’s Community Investment Fund has bought a 2.04% stake in Reliance Retail Ventures Constrained for about $1.3 billion, the sovereign prosperity fund explained on Thursday.

Reliance Retail Ventures (RRVL) is the retail arm of Reliance Industries’, the Indian oil-to-telecoms conglomerate.

The PIF claimed the investment decision would reinforce the fund’s existence in the Indian overall economy and retail current market.

“The expense in RRVL follows an earlier acquisition of a 2.32% stake in Jio Platforms, the electronic products and services subsidiary of Reliance Industries,” PIF stated in a statement.

PIF purchased the stake in Reliance’s Jio Platforms – which contains telecoms venture Jio Infocomm and tunes and motion picture applications – in June for just about $1.5 billion.

Reliance, controlled by billionaire Mukesh Ambani, has approached investors to just take stakes in its retail enterprise. Reliance has already raised all around $20 billion from world buyers by promoting stakes in its Jio Platforms digital small business.

RRVL has nearly 12,000 shops and sells anything from groceries and electronics to manner and sneakers.

Abu Dhabi condition fund Mubadala claimed last thirty day period it would commit 62.48 billion rupees ($843.45 million) in RRVL.

PIF Governor Yasir Rumayyan reported in the statement the investment decision demonstrated the fund’s determination to investing for the prolonged-expression with innovative businesses around the environment and also its commitment to driving the economic diversification of Saudi Arabia.

Reporting by Raya Jalabi and Yousef Saba Modifying by David Goodman and Jane Merriman