India’s competition regulator, the Competition Commission of India (CCI) approved Reliance Industries Ltd’s acquisition of German firm METRO AG’s wholesale operations in India.
What Happened? The regulator gave Mukesh Ambani-owned Reliance Retail Ventures a green light for its acquisition of METRO Cash & Carry India, which is a wholly-owned subsidiary of German international wholesaler METRO AG, in a deal worth ₹2,850 crore.
"Commission approves acquisition of METRO Cash and Carry India Private Ltd by Reliance Retail Ventures Limited (RRVL)", the CCI tweeted on Tuesday evening.
The acquisition which was announced in December 2022, gives Reliance Retail access to METRO India's wide network of 31 large format stores across 21 cities. The acquisition also gives RRVL access to a large base of registered kiranas and other institutional customers, a strong supplier network, and some of the global best practices implemented by METRO in India.
“The multi-channel B2B cash and carry wholesaler has to reach over 3 million B2B customers in India, of which 1 million are frequently buying customers, through its store network and eB2B app,” according to an earlier company statement.
Get all the latest Share Market trends and news to set you up for the week ahead.
Metro India generated sales of ₹7,700 crore – its best since its entry into India – in the first half of the financial year that ended in September 2022.
Price Action: Reliance Industries Ltd. shares were trading 0.37% higher at ₹2,284.90 when markets opened for trading on Wednesday.
© 2023 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.