Reliance completes Justdial acquisition gains sole control after Just Dial issued 21.2 million shares to RRVL (Reliance Retail Ventures Ltd on September 1, 2021, at a price of Rs 1,022.25 per share.
Reliance Retail Ventures Ltd, owned by billionaire Mukesh Ambani, announced on Thursday that it had acquired sole control of Just Dial, a 25-year-old search and discovery service.
Reliance Retail Ventures Ltd, a subsidiary of the company, announced a deal to buy a majority share in Just Dial for Rs 3,497 crore in July.
Further to that announcement, “Reliance Retail Ventures Ltd has now taken sole control of Just Dial Ltd in accordance with the SEBI Takeover Regulations with effect from September 1, 2021.”
In a block agreement on July 20, 2021, Reliance Retail Ventures Ltd purchased 1.31 crore equity shares of Just Dial worth Rs 10 each at a price of Rs 1,020 per equity share from VSS Mani, the company’s founder and CEO.
“The acquisition represents 15.63 per cent of the post-preferential issue paid-up equity share capital of Just Dial,” the statement said.
Just Dial allotted shares of Rs 10 each to Reliance Retail Ventures Ltd as part of the preferential offer, representing 25.35 per cent of the company’s share capital. Reliance Retail Ventures Ltd now owns 40.90 per cent of Just Dial as a group.
Just Dial’s website, mobile apps, and phone line provide local search and e-commerce services. By dialling 8888888888, you may get information on everything from local plumbers to hotels and housekeeping services.
Reliance Retail Ventures Ltd will now make an open offer to buy a 26% stake in Just Dial from other Just Dial shareholders. Just Dial is one of the numerous acquisitions made by Reliance Industries or its subsidiaries in recent months, including telecom giant Jio Platforms and Reliance Retail.
Reliance bought a 60% share in Vitalic, the parent company of the pharma marketplace Netmeds, for Rs 620 crore in August. In November, it purchased online furniture firm Urban Ladder in a distress auction for Rs 182.12 crore.
Reliance Retail also bought Future Group, India’s second-largest retail chain, for Rs 24,713 crore last year. The agreement is currently stalled in the courts, with Amazon, the world’s largest e-commerce company, contesting it.
As of March 31, 2021, Just Dial had 30.4 million listings and 129.1 million quarterly unique users across online, mobile, App, and voice platforms.
JD Mart, the company’s B2B marketplace platform, was recently created with the goal of enabling millions of manufacturers, distributors, wholesalers, and retailers in India to become internet-ready in the post-COVID age, get new consumers, and sell their products online.
The portal provides businesses with digital product catalogues and aspires to digitalize India’s enterprises, particularly MSMEs, across all categories.
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