InvestorQ : Why are Silver Lakes and KKR interested in buying a stake in Reliance Retail also?
diksha shah made post

Why are Silver Lakes and KKR interested in buying a stake in Reliance Retail also?

Answer
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3 weeks ago


Yes both Silver Lakes and KKR are back to invest in the Reliance group and it is only the business division that has changed. While Silver Lakes has already confirmed its participation in the equity of Reliance Retail, KKR is expected to do it soon.

Silver Lake Partners has committed to buy 1.75% in Reliance Retail Ventures for a sum of Rs.7500 crore or closer to $1.05 billion. This deal gives Reliance Retail an indicative valuation of Rs.428,500 crore or approximately $58 billion.

Reliance Retail Venture had recently made a mega purchase of the retail, wholesale, logistics and warehousing business of the virtually bankrupt Future Group for $3.38 billion. Reliance Retail has already emerged as the largest retail player in India.

While KKR deal is yet to be officially confirmed, the market reports are that KKR may infuse close to $1.50 billion into Reliance Retail. Like Silver Lakes, KKR had also invested earlier when Reliance had monetized Jio Platforms about 3-4 months back.