Reliance set to acquire METRO Cash & Carry India in Rs. 4060 Cr. Deal

Industry sources said that Reliance Industries will acquire Cash & Carry from German retailer METRO AG in India in a deal estimated at 500 million euros (Rs 4,060 crore).

They said the deal includes 31 wholesale distribution centers, land banks and other assets owned by METRO Cash & Carry here. This will help Reliance Retail, the nation's largest retailer, expand its presence in the B2B sector

They added that the discussion between Reliance Industries and Metro led by billionaire Mukesh Ambani has been going on for the past few months, with the German parent company accepting Reliance Retail's offer last week.

When contacted, both METRO and Reliance Industries declined to comment on the development.

"Our company is evaluating various opportunities on an ongoing basis," a Reliance spokesman said.

"We do not comment on rumors or speculation in the market," a METRO AG spokesman said.

METRO Cash & Carry clients include retailers, kirana stores, hotels, restaurants, catering companies (HoReCa), businesses, SMEs, corporations and foundations.

The B2B sector is a low-margin business and multinational companies like Carrefour left the country in 2014.

In July 2020, major e-commerce conglomerate Flipkart Group acquired a 100 per cent stake in Walmart India Pvt Ltd, which operates best rate cash and carry business.