On Friday, the 29th of November 2019, shares of India’s Future Retail, owned by the Mumbai-based Indian conglomerate Future Group widely known for its supermarket chains such as Big Bazaar and Food Bazaar, space-dived as much as 13 per cent after India’s financial watchdogs had approved an Amazon investment on Future Retail Ltd. and proffer a minority stake in one of the largest retailing groups of world’s third-largest economy by PPP (Purchasing Power Parity) and the fifth-largest by nominal GDP.
In point of fact, latest Amazon investment approval from the India’s anti-trust body comes over the heels of an August announcement by Future Retail that said the deal in effect would allow the world’s No. 1 online retailing industry Goliath to acquire a 3.58 per cent stake in the company.
Nonetheless, financial terms of the deal that cemented Amazon’s investment on Future Retail Ltd. and would likely to help the US-based online retailing giant to dig deeper into India’s rapidly-growing retailing market, remained undisclosed.
Besides, in a brief statement on Thursday (November 28th), India’s Competition Commission (CCI) was quoted saying that it had approved Amazon’s purchase of 49 per cent stake of Future Coupons Ltd., a subsidiary of Mumbai-based Indian conglomerate Future Group that owns just a notch shy of 7.3 per cent stake in Future retail.