Shares of billionaire Mukesh Ambani-promoted company - Reliance Industries - rose as much as 3.87 per cent to hit an intraday high of Rs 2,025 after its retail arm - Reliance Retail Ventures Ltd. (RRVL) - secured an investment of Rs 9,555 crore from Saudi Arabia's wealth fund. Reliance Industries on Thursday said that the Public Investment Fund (PIF) of Saudi Arabia will invest Rs 9,555 crore for an equity stake of 2.04 per cent in RRVL valuing the company at Rs 4.59 lakh crore.
With PIF's latest investment Reliance Retail Ventures has raised Rs 47,265 crore from leading investors like Silver Lake, Abu Dhabi Investment Authority and KKR among others. PIF had earlier acquired 2.32 per cent stake in Jio Platforms, the digital services arm of Reliance Industries.
PIF is one of the largest sovereign wealth funds in the world and works alongside global strategic partners and renowned investment managers. It acts as the Kingdom of Saudi Arabia's primary investment arm aiming toward generating long-term value for the Kingdom of Saudi Arabia in line with Vision 2030.
Commenting on the deal, Mukesh Ambani, chairman and managing director of Reliance Industries, said, "I welcome PIF as a valued partner in Reliance Retail and look forward to their sustained support and guidance as we continue our ambitious journey to transform India's retail sector for enriching the lives of 1.3 billion Indians and millions of small merchants."
As of 11:44 am, Reliance Industries shares were trading 3.51 per cent higher at Rs 2,024, contributing over 200 points towards gain in the Sensex.