The richest Asian has received another multi-billion dollar investment for his retail business. Mukesh Ambani has managed to raise about $23 billion this year for his company, the biggest retailer in India. Its newest investment amounted to 62.5 billion rupees (US$855 million) from an Abu Dhabi state investment fund Mubadala Investment Co.
Series of Investments
According to Bloomberg, Ambani’s company, Reliance Retail Ventures, will give Mubadala a 1.4 percent stake. The newest cash grant of $855 million follows several other major previous investments for Ambani’s company.
Mukesh Ambani is on another serious fundraising spree https://t.co/FQTWDsvpdQ
— CNN Business (@CNNBusiness) October 2, 2020
Several months ago, the billionaire scored another multi-billion dollar investment for his digital services company, Jio Platforms. About half of that money the entrepreneur has earned in a month. Other major investors from September, aside from Mubadala, also include Silver Lake, KKR, and General Atlantic, CNN Business reports. Among these, Silver Lake Partners nabbed the largest stake, with its $1 billion investment for 1.75 percent ownership. Meanwhile, Silver Lake co-investors invested $254 million for 0.38 percent stake, General Atlantic with $498 million for 0.84 percent stake, and KKR with $754 million for 1.28 percent stake, Bloomberg reported.
Selling stakes further buoyed Reliance’s shares by 48 percent this year. The recent investment brings Reliance, the largest retailer in India, to a value of 4.29 trillion rupees. Moreover, Ambani’s fortune added over $26 billion for this year, putting him on the high ranks of Bloomberg’s Billionaire Index, alongside Facebook’s Mark Zuckerberg and LVMH’s Bernard Arnault.
For this year so far, Bloomberg also said Ambani has managed to raise funds for his company, amounting to $23 billion. The new investors also supported Ambani’s tech company. It only shows how much they believe in the billionaire’s company.
Asia’s richest man had his company performing well, even dubbing it as the largest retail firm in India. In the last fiscal year, Reliance revealed that they saw a profit of $726 million, CNN Business reports.
Moreover, Ambani has managed to transform Reliance Industries from being an energy company into a growing conglomerate, including retail and technology.
The company now operates retail stores across the country, with 12,000 locations in 7,000 towns. Reliance actually sells almost all sorts of items, including grocery items, to electronic devices. In fact, Bloomberg notes that Reliance operates the largest electronics chain in India.