Reliance Industries will buy ‘Future group’ to become India’s number 1 retail company

Mumbai: Mukesh Ambani’s Reliance Industries Ltd (RIL) is in talks of attaining Kishore Biyani’s Future Group. This would help the RIL to expand its reach in the retail space across categories like fashion, general merchandise and groceries.

The deal between RIL and Future Group are reportedly at its final stage. As per the deal, Mukesh Ambani’s RIL will have a controlling stake in the retail businesses of Kishore Biyani’s Future Group.

All the control from Future retail basket, including FBB, Big Bazaar, Food Hall and Central, along with Future Lifestyle Ltd, and Future Supply Chain Solutions will be handed over to Reliance. These three entities will be merged into one.

Negotiations between Future Group and RIL began earlier this year, as one of Biyani’s holding entities defaulted on the loan payment.

In order to help its loan repayment, once the poster boy of India’s retail sector Biyani, went up and held several discussions with many other potential investors, before finalizing the deal with RIL.

In fact,  big players like US-based retail giant Amazon did show interest in Future Group. However, Biyani resolved that RIL offered a thorough solution to their debt issue.