Capital market regulator SEBI has approved a deal of Rs 24,713 crore between Future Group and Reliance. After this, the Bombay Stock Exchange also approved the deal worth Rs 24,713 crore. Amazon had written several letters to the Securities and Exchange Board of India (SEBI) and other regulatory agencies, requesting them not to allow the deal. The Securities and Exchange Board of India has approved the deal with certain conditions. The deal was announced in August last year. BSE has also said that SEBI’s permission on this deal of Future-Reliance Group will depend on the outcome of the pending cases in the court.
Competition Commission of India (CCI) also approved
Reliance Industries and Future Group Competition Commission of India (CCI) has also approved the deal. With this, Reliance Industries will now be able to take over the business of Future Group. At the same time, the approval of CCI is a big blow to the American e-commerce company Amazon.
Actually, there was a deal between Mukesh Ambani’s Reliance Industries and Kishore Biyani’s Future Group. Under the deal, Reliance signed a deal of Rs 24,713 crore to acquire the retail, wholesale, warehousing and logistics business of Future Group. This deal has now been approved by CCI. On the other hand, this deal of Reliance Industries and Future Group is constantly being opposed by Amazon.
Amazon opposed the deal and moved a Singapore arbitration court. At the same time, in this case, the arbitration court gave a decision in favor of Amazon and interim stay on the deal. Apart from this, Amazon wrote a letter to market regulator SEBI, Stock Exchange and CCI and asked them to take action keeping in mind the decision of the arbitration court.
What is the matter?
Amazon had issued a legal notice to Future Group and alleged that the company had violated the agreement with them by selling assets worth Rs 24,713 crore to Reliance Industries. After which Amazon filed a case in the Arbitration Court in Singapore regarding the case.