PIF investment demonstrates generating returns for the Saudi people
The Public Investment Fund (PIF) will invest Rs.9,555 crore (approximately US$1.3 billion) for an equity stake of 2.04% in Reliance Retail Ventures Ltd (RRVL), further strengthen the Saudi investor’s presence in India’s dynamic economy and promising retail market segment.
The investment in RRVL follows PIF’s earlier acquisition of a 2.32% stake in Jio Platforms, the digital services subsidiary of Reliance Industries. RRVL is another subsidiary of Reliance Industries.
The transaction is in line with PIF’s strategy as a leading global investor with a proven track record of investing in innovative and transformative companies globally and develop strong partnerships with leading groups in their respective markets.
India’s retail sector is one of the largest in the world and accounts for over 10% of its gross domestic product (GDP) which presents meaningful growth potential.
“This transaction demonstrates PIF’s commitment to investing and partnering for the long-term with innovative businesses around the world that lead and transform their sectors,” elaborated Yasir Al-Rumayyan, Governor of PIF.
“This investment further demonstrates PIF’s commitment to generating returns for the Saudi people and driving the economic diversification of Saudi Arabia,” he said.
“PIF is at the forefront of the economic transformation of the Kingdom of Saudi Arabia. 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,” RIL chairman and managing director Mukesh Ambani said on 5 Nov 2020.
Reliance Retail Limited, a subsidiary of RRVL, operates India’s largest, fast-growing retail business serving close to 640 million footfalls at its ~12,000 stores across the country. Reliance Retail’s vision is to galvanize the Indian retail sector through its new commerce strategy, serving millions of customers by empowering millions of micro, small and medium enterprises (MSMEs).
The Public Investment Fund is one of the largest and most impactful sovereign wealth funds in the world, driving the economic transformation of Saudi Arabia for the benefit of its people while helping shape the future global economy.
PIF is building a world-class portfolio through investments in attractive, long-term opportunities across diverse industries and asset classes internationally while unlocking new sectors at home. #investment #fund #banking #manufacturing #retail /fiinews.com
