Wednesday , August 21 2019

Amazon set to buy 10% of India’s Future Retail

Bloomberg Inc. is in late-stage talks to acquire as much as 10 percent of India’s Future Retail Ltd, people familiar with the negotiations said, as the US company moves to bolster its bri-
ck-and-mortar presence in one of the world’s fastest-growing retail markets.
India’s No. 2 retailer by turnover, Future is seeking a valuation of about 20 billion rupees ($281 million) from Amazon for the stake, according to the people, who asked not to be identified as the discussions are private. The sale is likely to be routed through a holding company, they said, and will give Amazon the option to buy more shares from Kishore Biyani, Future Retail’s founder and chairman.
The deal with the Mumbai-based company, which operates its flagship “Big Bazaar” grocery store chain, will give Amazon more exposure to the business after it bought Whole Foods Market Inc for $13.7 billion in 2017 and secured a foothold in the US food retailing segment.
The proposed investment in Future Retail offers some parallels, enabling Amazon to tap into India’s rising demand for household products and home-delivered fresh produce and vegetables.
Discussions are yet to be finalized, and the deal could still falter or be delayed.

About Admin

Check Also

Oil surges as drone attack on Saudi field stokes export fears

Bloomberg Oil rose for a second day as a drone attack on a Saudi Arabian ...

Leave a Reply

Your email address will not be published. Required fields are marked *