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Ambani on a global hunt to acquir a retail giant

New Delhi, Reliance Industries chairman Mukesh Ambani, equipped with a war-chest of an estimated Rs 100,000 crore, is understood to be on a global hunt for acquiring a retail giant of the size of Wal-Mart or Tesco. Ambani listed as the world's fourteenth richest person by Forbes, is believed to have let loose his advisers to scout the globe, hoping to market India's agriculture produce, including fruits and vegetables that could fetch much higher value abroad than the domestic market.After the merger of group company IPCL with flagship RIL, the Indian business tycoon is believed to have created a trust with cash up to Rs 25,000 crore, which could be doubled with other investors for leveraging the equivalent debt for global acquisitions, a source in the know of the development said. "Why should Mukesh Ambani not go global when international companies are looking toward India`s retail market... He is looking for a global acquisition of a chain like Wal-Mart, Tesco or Carrefour," he said. Officials of RIL or aides of Mukesh Ambani could not be contacted for comments. Mukesh Ambani has already committed an investment of Rs 25,000 crore for retail operations in India. Reliance Retail has already emerged as the single largest player in the fresh food format stores within months of its launch and Ambani is believed to be keen on taking his farm-to-fork project global.The group has its own fleet of cargo aircraft, which could ensure supplies to any part of the globe overnight. The move comes amid a rush among global retail giants to enter India, one of the most promising retail markets with a population of over one billion. As such there are reports that Mukesh Ambani could also be looking for a major petrochemical entity to leverage his strong domestic supply of raw materials for high value products and markets in Europe and America. "There is no basis for the report and Reliance Industries strongly denies it," RIL statement issued late this evening said.

 

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