In the contention of creating a mega retail giant, despite several legal and arbitration battles, Reliance Retail Ventures extended the timeline for its acquisition of Future Retail.
In financial parlance, the RRVL extended the ‘long stop date’ for the acquisition till September 30, 2021.
Besides, the development showed Reliance Retail’s confidence in clinching the deal amid the legal tussle going on with Amazon.
Notably, the previous long stop date to complete the transaction was March 31, 2021.
In a regulatory filing on Thursday, Future Retail said: “Reliance Retail Ventures Limited (RRVL) has in exercise of the right provided thereunder, extended the timeline for Long Stop Date from March 31, 2021, to September 30, 2021, which has been duly acknowledged by Reliance Retail and Fashion Lifestyle Limited, wholly-owned subsidiary of RRVL.”
August last year, Reliance Industries’ subsidiary Reliance Retail Ventures Ltd announced to buy the retail assets of Future Group for nearly Rs 25,000 crore.
The deal has faced legal hurdles as eCommerce giant Amazon, which owns a 49 per cent stake in Future Coupons Pvt Ltd, a Future Group holding company, objected to the deal and approached the arbitration court in Singapore.
The arbitration court directed a temporary stay on the deal till its final decision.
The Delhi High Court last month stayed a recent single bench order upholding the Singapore Emergency Award (EA) and stalling Future Retail from going ahead with the Rs 24,713 crore deal with Reliance Retail.