Reliance Retail Acquired Urban Ladder for Rs. 182 Crore
The Indian billionaire Mukesh Ambani has illustrated about his seriousness for the Indian e-commerce space as Reliance Retail has acquired the online furniture marketplace, Urban Ladder, for Rs. 182.12 Crore (~$24.5 million).
As per Hindustan Times, the Mukesh Ambani-led company has bought a 96% stake in the e-commerce firm, and has pledged to invest further Rs. 75 Crore in the company by December 2023.
Reliance Industries Limited, the parent company of Reliance Retail, in a statement announcing the acquisition:
“Reliance Retail Ventures Ltd (RRVL), a subsidiary of Reliance Industries (RIL), has acquired equity shares of Urban Ladder Home Decor Solutions Pvt Ltd for a cash consideration of Rs 182.12 crore. RRVL has a further option of acquiring the balance stake, taking its shareholding to 100 per cent of the equity share capital of Urban Ladder. The further investment is expected to be completed by December 2023.”
According to Reliance, this acquisition will boost the company’s presence in the country’s giant e-commerce segment and expand its online product portfolio as the company is going in combat with the major e-commerce like Amazon and Flipkart. The company has already expanding its JioMart e-grocery delivery platform at rapid rate while Reliance Retail is reportedly operating 2,000 brick-and-mortar stores across India.
The acquisition has further set up clash between Amazon’s Jeff Bezos and Mukesh Ambani as they have been slugging it out in the courts over Reliance Retail’s recent acquisition of retail assets of Future Group (Amazon’s former Indian partner) in a deal which has now become a bridge of contention between Reliance and Amazon.
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