Mumbai: Oil-to-retail conglomerate Reliance Industries said on Thursday it cannot confirm or deny any transaction which may or may not be in the works. The comments are in light of recent media reports that Reliance Retail may see a Jio-like stake sale, after the recent deal with Silver Lake Partners.
Reliance Industries Ltd is reported to have offered a 40 per cent stake in its retail arm worth about $20 billion to Amazon.com, Inc, a Bloomberg report said on Thursday citing sources.
Late on Wednesday, Financial Times reported Middle East sovereign wealth funds including the Abu Dhabi Investment Authority and Saudi Arabia’s Public Investment Fund are in talks to buy stakes Reliance Retail.
The FT report said Adia is in discussions about an investment of $750m at a valuation of roughly $57bn, while the PIF could funnel as much as $1.5bn into the entity and Mubadala may also take a stake.
Also, Bloomberg reported on Wednesday KKR is in discussions for a stake in Reliance Retail Ventures Ltd and the private equity firm could invest as much as $1.5 billion and an announcement could come as soon as this month.
“In light of a high incidence of speculative media queries and incorrect and ex parte media articles relating to purported capital transactions into Reliance Industries or our group companies, we would like to reiterate that as a policy, we do not comment on media speculation and rumours and we cannot confirm or deny any transaction which may or may not be in the works,” A RIL spokesperson said in a release.
The spokesperson said RIL evaluates various opportunities on an ongoing basis.
“We have made and will continue to make necessary disclosures in compliance with our obligations under Securities Exchange Board of India (Listing Obligations and Disclosure Requirements) Regulations 2015 and our agreements with the stock exchanges,” the release said.
RIL rallied as much as 8.5 per cent to log a new high of Rs 2,343.90, and crossed the $200 billion market-capitalization mark in the day. The stocks pared some gains and closed 7.1 per cent higher at Rs 2,314.65.