Silver Lake co-investors will invest additional Rs 1,875 crore in Reliance Retail Ventures Limited (RRVL), the Mukesh Ambani-led company announced on Wednesday. This will take the total investment by Silver Lake co-investors in the retail arm of Reliance Industries to Rs 9,375 crore, equivalent to 2.13 per cent stake in the company. This latest investment will value Reliance Retail at a pre-money equity value of Rs 4.29 lakh crore.
Morgan Stanley acted as financial advisor to Reliance Retail and Cyril Amarchand Mangaldas and Davis Polk & Wardwell acted as legal counsels. Latham & Watkins and Shardul Amarchand Mangaldas & Co acted as legal counsels for Silver Lake. The deal is subject to regulatory and other customary approvals.
"Silver Lake and its coinvestors are valued partners on our journey to transform Indian Retail for the benefit of all Indians. We are pleased to have their confidence and support, as well as the benefit of their leadership in global technology investing and their valued network of relationships for the Retail revolution in India. Silver Lake's additional investment is a strong endorsement of the tremendous potential of Indian Retail and the capabilities of Reliance Retail," said Reliance Industries Chairman Mukesh Ambani.
"We are delighted to increase our exposure and bring more of our co-investors into this unmatched opportunity. The continued investment momentum over the last few weeks is proof of the compelling vision and business model of Reliance Retail - and underscores the tremendous potential of the transformative New Commerce initiative," said Egon Durban, Co-CEO and Managing Partner of Silver Lake.