2nd October 2021, Mumbai:
Reliance Industries’ retail arm, Reliance Retail Ventures (RRVL) has extended the deadline for concluding the Rs 24,713 crore deal with the Future Group to March 31, 2021.
Earlier, RRVL had extended the deadline for the Long Stop Date from March 31, 2021, to September 30, 2021.
Longstop is an established practice in mergers and acquisition transaction in which parties agree on which all the conditions needed to complete a transaction.
Last week, the National Company Law Tribunal (NCLT) had allowed Future Group firms to hold meetings of their shareholders and creditors to seek approval for the sale of assets to RRVL.
The arrangement between Future and Reliance Retail includes the merging of Future Group's retail, wholesale, logistics, and warehousing assets into one entity -- Future Enterprises -- and then transferring it to Reliance Retail.