Reliance Retail Extends Deadline For Completing Future Retail Acquisition By Six Months
Reliance Retail Ventures Ltd. extended the deadline for completing its Rs 24,713-crore acquisition of Future Retail Ltd. by six months.
The retail arm of Reliance Industries Ltd. has exercised its rights under the scheme of arrangement and other transaction documents to extend the timeline for completing the deal to Sept. 30 from March 31, Future Retail said in an exchange filing.
This extension comes in the backdrop of the legal battle playing out between Reliance and Future Group entities and Amazon.com Inc.
On March 22, a Delhi High Court division bench stayed the single-judge bench's March 18 order that imposed costs on some Future Group companies and others after holding them guilty of willful violation of the emergency arbitrator’s order in favour of Amazon. The division bench has posted the case for hearing on April 30.
The transaction between Future Retail and Reliance Retail, announced in August 2020, has received the Competition Commission of India’s nod as well as a go-ahead from the Securities and Exchange Board of India. The scheme of arrangement is under consideration of the National Company Law Appellate Tribunal.
Meanwhile, Amazon-Future case is likely to come up in the Supreme Court on April 27. In its last hearing, the apex court had asked the NCLT to not pass any final orders.