Reliance Retail to Be Reliance Group's Fastest Growing Unit
According to chairman Mukesh Ambani, Reliance Industries' retail business will be the fastest growing segment in the coming years. Over the last two years, Reliance has invested $10 billion in retail expansion.
Ambani told shareholders at the company's 46th annual general meeting, which was held virtually, that as "India grows from a $2,500 per-capita economy to a $10,000 per-capita economy, Reliance Retail will be our fastest-growing business in terms of revenues and Ebitda." Earnings before interest, taxes, depreciation, and amortisation, or EBITDA, is the operating profit.
As per the latest investment by Qatar Investment Authority in Reliance Retail, the company is valued at Rs. 8.28 lakh crore. This is in contrast to the last round of fundraising, which took place in September 2020 and had a valuation of 4.28 lakh crore, he said.
"Despite the intervening Covid-19 pandemic, the retail (business) valuation has nearly doubled in less than three years." Based on this valuation, Reliance Retail would have been one of the top four companies in India and one of the top ten retailers in the world if it had been listed. "The rate at which this value is being created is unparalleled in the world," Ambani said.