The RIL arm will invest 300 cr in robotics co
Reliance Retail Ventures Ltd, the retail unit of Reliance Industries Ltd, is likely to acquire a minority stake in warehouse robotics company Addverb Technologies Pvt. Ltd for approximately ??300 crore, said two people familiar with the matter.
If the agreement is concluded, it will value Addverb Technologies at ??1,590 to 1,660 crore, those named above said on condition of anonymity.
Email queries sent to Reliance Retail and Addverb Technologies went unanswered until time of publication.
Addverb Technologies was founded in 2016 by former Asian Paints executives Satish Shukla, Sangeet Kumar, Prateek Jain, Bir Singh, Amit Kumar and Neeraj Sharma. The company says its products help businesses improve the use of space in warehouses and factories by leveraging warehouse robotics and automation. It caters to industries such as e-commerce, healthcare, aviation, retail, grocery, fashion, third-party logistics, pharmaceuticals, and auto parts.
Addverb Technologies, which counts Amazon, Flipkart, ITC and Coca-Cola among its clients, raised more than $ 10 million from Jalaj Ashwin Dani, co-promoter of Asian Paints, in two installments in 2017 and 2019, according to VCCEdge , the intelligence platform data of VCCircle.
In June, the Moneycontrol website reported that the company had entered into talks with institutional investors to raise $ 80 million to $ 120 million. Addverb Technologies’ turnover amounts to ??111.2 crore in the year ended March 2020 from ??64.9 crores the previous year.
Through its retail unit, Reliance made several acquisitions this year. Last month it bought retail lingerie companies under the âAmanteâ brand from MAS Brands, a Sri Lanka-based unit of MAS Holdings, for an undisclosed amount. Reliance Retail took a 52% stake in India’s oldest fashion house, Ritu Kumar, in October. He also took a significant stake in Manish Malhotra’s desi couture brand in the same month. In July, she bought the local search engine platform Just Dial Ltd to ??5,713 crore via preferential allocation of shares and open offer.
Reliance Retail raised nearly $ 6.4 billion in external financing last year from US private equity firms such as Silver Lake Partners, the Saudi Arabian Public Investment Fund, the private equity firm KKR & Co., Abu Dhabi State Fund Mubadala Investment Co. and Abu Dhabi Investment Authority.
Granted, a handful of robotics startups have raised funds in the recent past. Earlier this month, Pune-based robotic supply chain technology company Unbox Robotics secured $ 7 million in its Series A funding round led by 3one4 Capital. Earlier this month, market-related logistics company Delhivery acquired California-based Transition Robotics Inc.
Never miss a story! Stay connected and informed with Mint. Download our app now !!