Reliance To Acquire METRO Cash & Carry India For Rs 4,060 Cr: Report

Reliance Industries is all set to acquire German retailer METRO AG's Cash & Carry business in India in a deal estimated at around Rs 4,060 crore, news agency PTI reported on Sunday, citing sources aware of the development.

The report stated that the deal includes 31 land banks, wholesale distribution centres, and other assets owned by METRO Cash & Carry in India.

The acquisition will help Reliance Retail to expand its presence in the B2B segment.

Various media reports had highlighted last month that discussion between Reliance Industries and METRO was on, and last week the parent firm gave its nod for the offer from Reliance Retail.

Some other retailers were also in the race to acquire the business, including Siam Makro, which operates Lots Wholesale cash-and-carry trading under the brand name LOTS Wholesale Solutions.

Siam Makro had announced its withdrawal from the bidding process last month.

METRO entered the Indian market in 2003.

METRO Cash & Carry's customers include retailers, kirana stores, hotels, restaurants and caterers (HoReCa), corporates, SMEs, companies, and institutions.

Last week, media reports surfaced that Reliance Retail is also eyeing entry into the salon business and is in talks to buy a 49 per cent stake in Naturals Salon & Spa.

Reliance Industries' subsidiary Reliance Retail Ventures Limited (RRVL), is the holding company of all the retail companies under the conglomerate.

RRVL had reported a consolidated turnover of around Rs 2 lakh crore last fiscal.

(With inputs from PTI)