Future Retail urges BSE, NSE to ignore Amazon’s letter

Future Retail has urged the BSE and the NSE to ignore Amazon’s letter regarding the Singapore-based Emergency Arbitrator’s (EA) interim award, which has directed the Kishore Biyani-led Future Group to put on hold its Rs 24,713-crore deal with Reliance Industries. Amazon has sought damages of Rs 1,431 crore plus interest against its investment in Future Coupons.

The letter is being seen by legal experts as an effort to distance itself from the agreement between Biyani and Amazon, called Amazon’s contention to the EA as entirely misconceived. While maintaining that the interim award is not legally enforceable in India, as the deal with Reliance is in line with local laws. The EA order accepts Amazon’s contention that two separate shareholder agreement(s), one between Amazon and Future Retail’s promoters and another between Future Retail and its promoter constitute one single integrated transaction and that by such a composite transaction Amazon has an interest in and rights against Future Retail.