Mukesh Ambani, the wealthiest individual in Asia, is the founder of Reliance Retail, and the company is currently seeking to secure funds through an Infrastructure Investment Trust (InvIT), aiming to raise an impressive sum of up to Rs 40,000 crore. As reported by India Retailing, the organization has submitted a proposal for the InvIT to the market regulator SEBI.
According to individuals familiar with the situation, Reliance Retail’s InvIT will initiate its fundraising efforts by obtaining around Rs 400 crore within the next two months. This initial funding phase will mark the establishment of the trust itself.
This recent development follows earlier reports from April of this year, which indicated that Mukesh Ambani’s flagship enterprise, Reliance Industries Limited, was actively preparing to capitalize on its retail warehousing assets through an InvIT valued between $2.4 billion and $3 billion.
Insiders have also disclosed that, in the longer term, the InvIT is projected to amass a substantial amount, ranging from Rs 25,000 crore to Rs 40,000 crore. However, these funds are likely to be secured by the fourth quarter of the financial year.
In a recent evaluation by the brokerage firm Bernstein, Reliance Retail was assessed at a staggering value of $112 billion, surpassing the valuations of other prominent companies associated with Mukesh Ambani. The retail division of Reliance has been notably expanding its presence in the physical retail sector over the past several months.