(RIL) share price hiked over 1 percent in the early trade on November 17 after its subsidiary Reliance Retail Ventures (RRVL) acquired a 96% stake in Urban Ladder Home Decor Solutions.
RRVL has acquired equity shares of Urban Ladder Home Decor Solutions Private Limited for a cash consideration of Rs 182.12 crore which represents 96% holding in the equity share capital of Urban Ladder, the company said in the release.
RRVL has a further option of taking its shareholding to 100% of the equity share capital of Urban Ladder, it added.
RRVL proposes to make a further investment of up to Rs 75 crore which is expected to be completed by December 2023. This investment will enable the group’s digital and new commerce initiatives and widen the bouquet of consumer products provided by the group while enhancing user engagement and experience across its retail offerings.
The Urban Ladder marks the company’s first acquisition in digital home decor, an area that it has highlighted would be in focus, reported CNBC-TV18.
The investment does not fall within related party transactions and none of RIL’s promoter/promoter group/group companies has any interest in the transaction, the company further said.
Morgan Stanley has kept an overweight rating on Reliance Industries with a target at Rs 2,247 per share. At 09:26 hrs Reliance Industries was quoting at Rs 2,028.20, up to Rs 25.90, or 1.29 percent on the BSE.