Reliance Industries Limited (RIL) on Thursday announced that The Public Investment Fund (PIF) will invest Rs 9,555 crore (approximately USD 1.3 billion) in Reliance Retail Ventured Limited (RRVL). The investment will be done for an equity stake of 2.04 per cent into RRVL, valuing RRVL at a pre-money equity value of Rs 4.587 lakh crore (approximately USD 62.4 billion).

This is the second investment by PIF in a subsidiary of Reliance Industries as it had earlier acquired 2.32 per cent stake in Jio Platforms. The PIF is one of the largest and most impactful sovereign wealth funds in the world, driving the economic transformation of Saudi Arabia for the benefit of its people while helping shape the future global economy.

Speaking about the investment, Mukesh Ambani, Chairman and Managing Director, RIL, said, “We at Reliance have a long-standing relationship with the Kingdom of Saudi Arabia. PIF is at the forefront of the economic transformation of the Kingdom of Saudi Arabia.”

“I welcome PIF as a valued partner in Reliance Retail and look forward to their sustained support and guidance as we continue our ambitious journey to transform India’s retail sector for enriching the lives of 1.3 billion Indians and millions of small merchants,” he added. Reliance Retail is a subsidiary of RRVL with around 12,000 stores across the country.

Meanwhile, His Excellency Yasir Al-Rumayyan, Governor of PIF said, “We are pleased to be furthering our trusted partnership with Reliance Industries, the leading player in some of India’s most exciting sectors. This transaction demonstrates PIF’s commitment to investing and partnering for the long-term with innovative businesses around the world that lead and transform their sectors. “This investment further demonstrates PIF’s commitment to generating returns for the Saudi people and driving the economic diversification of Saudi Arabia,” the Governor added