The retail giant of India Reliance has procured the maximum shares in the Urban Ladder Ventures.
The acquisition of the furniture firm Urban Ladder by Reliance Retail will make it a proficient entrant in the e-commerce market beside Amazon and Flipkart.
The e-commerce giant Reliance Retail claimed to a local stock exchange that it has obtained 96% shares in the furniture startup Urban Ladder for almost $ 24.43 million. Reliance Retail Ventures Limited (RRVL) making the move is a subsidiary of Reliance Industries Limited (RIL). The startup Urban Home Decor Solutions Pvt Ltd was found around seven and a half years ago. The leading e-commerce venture after gaining majority equity shares has further devised to finance the startup for a sum of $10.06 million by December 2023.
The home decor venture Urban Ladder was founded in February 2012 and provides a wide range of furniture and home decor options online across the country. In addition to that, it also runs a mesh of offline retail stores across various cities of India. Considering the settlement, it must be a fire sale for the trading.
The venture previously raised an amount of almost $115 million from capital investors. As attested by Tracxn and Crunchbase, the investors include MIT, SAIF Partners, Sequoia Capital, Steadview Capital, and few others as well. However, the e-furniture startup also suffered a huge loss of $ 6.6 million in the recent fiscal year for gross revenue of almost $58.2 million.
The e-commerce retail market Reliance has projected the growth of the startup with capital investment.
The India-based Reliance Retail market is also looking forward to the augment the varieties in the consumer products by its new business strategies. The venture is simultaneously accelerating the user’s involvement and experience across its retail market across the country.
Reliance Retail is founded in 2006 and has grown an enormous consumer market in India. Besides the startup Urban Ladder, it has made a winning deal with the venture Future Group in the past few months. The Future Group, another giant retail network, was acquired by Reliance for a sum of $ 3.4 billion, the latest deal made before the acquisition of Urban Ladder.
The capital venture is surely widening its domain at a steady pace. Previously, back in August 2020, it acquired the majority shares of 60% in Vitalic, an e-pharmacy venture. Vitalic is the parent firm of Netmed, another pharmacy retailer, and the acquisition was done for around $ 83.2 million.
Mukesh Ambani, the owner of Reliance Retail has widely scaled up the diversity in the business from telecom to retail market. Almost $ 6.4 billion were raised in the past few months by Reliance Retail, while a well-renown subsidiary in telecom, Jio platforms has successfully hitched up to more than $20 billion this year from the social giants such as Google and Facebook.
With such a tremendous chain of the retail market with almost 10,000 offline stores, Reliance Retail is serving almost 3.5 million customers every week across 6,500 towns and cities in the nation. With a joint firm, JioMart is a recent player in the market, scaling up to more than 200 cities in India. Meanwhile, JioMart has also maintained a partnership with social platforms Facebook for Whatsapp integration.