Reliance Retail, a subsidiary of Reliance Retail has bought a 96 percent stake in the urban ladder, which is an online home decor firm. Notably, this the Reliance Retail’s fourth acquisition this year after Kannan Department, Netmeds, and Future Retail.
Both Reliance Retail and Urban Ladder discussed the matter for a very long, but the latter has gone through many ups and downs during a pandemic. The online decor has recently raised Rs. 857 crore and surprisingly sold its business in just Rs. 182 crore. Notably, in 2018 Urban Ladder’s value was Rs. 1,200 crore, and last year it was valued at Rs. 750 crore. This shows that the valuation of the Urban Ladder has decreased a lot.
Reason Behind Reliance Retail And Urban Ladder Deal
This clearly shows that Reliance is planning to foray into the home decor space and e-commerce platform. Besides, this will help the company to expand its reach in the consumer products and retail offerings. In addition, this will help the company to retain its customers in its ecosystem as it is offering services in almost all sectors, such as telecom, e-commerce, and content. Furthermore, this deal will allow the company to access the online furniture space, which is a growing sector and can increase its turnover by many folds.
List Of The Other Companies Where Reliance Retail Invested
Shri Kannan Department
The company has purchased a 100 percent stake in the Shri Kannan Department Store Private Ltd (SKDS). The company has invested Rs 152. 5 crore in the latter’s operations. The SKDS used to deal with fruits, vegetables, dairy, and more.
Netmeds And Future Group
Reliance Retail has bought a majority stake in the Netmeds firm. The Digital pharma market space will get Rs. 692 crore. Reliance Retail has announced that it is investing Rs. 24,713 crores in the Future Group.
Best Mobiles in India