Share price of Reliance Industries rose 1 per cent on Wednesday after the Indian conglomerate announced that the global private equity firm General Atlantic will invest Rs 3,675 crore to buy 0.84 per cent stake in its retail arm.
The stock rose 1 per cent to Rs 2,267.55 on the BSE.
However, during the last few minutes of the day’s trade, it lost all gains to trade at Rs 2,230m down by Rs14.85 or 0.66 per cent.
On the NSE, it had earlier jumped 0.97 per cent to Rs 2,267.
General Atlantic is the third private equity investment in Reliance Retail, following US-based private equity firm Silver Lake’s Rs 7,500-crore investment for a 1.75 per cent stake and global private equity firm KKR’s Rs 5,550 crore investment for a 1.28 per cent stake earlier this month.
“This marks the second investment by General Atlantic in a subsidiary of Reliance Industries, following a Rs 6,598.38 crore investment in Jio Platforms announced earlier this year,” the statement said.
Reliance Retail Ltd, a Subsidary of RRVL, operates about 12,000 stores in nearly 7,000 towns, with 640 million footfalls across core categories of grocery, consumer electronics and apparel. Revenues for Reliance Retail in FY20 was Rs 1.63 lakh crore.