Arbitration court blocks Future Group’s asset sale to Reliance

An arbitration court blocked Future Group 's sale of a swathe of assets to rival Reliance Industries after Amazon raised objections to the $3.4 billion deal, in a battle of the retail titans that could reshape the shopping sector.

As per an Economic Times report, Amazon, which had its sights set on ultimately owning part of the retail assets itself, argued a 2019 deal it had with a unit of Future contained clauses prohibiting Reliance Retail from selling them to anyone on a "restricted persons" list including Reliance.

After Future said it was not bound by an arbitrator's order that put the deal on hold, Amazon last month urged the high court in New Delhi to enforce it.

Justice J R Midha said that an immediate order was necessary to protect the US company's rights, adding that the arbitrator had "rightly proceeded" against Future.

Amazon said it welcomed the order. Future said it would explore all legal remedies to pursue the deal.