Started in 2003, the company operates in 21 cities with 3500 employees, in the financial year 2021/22 (financial year ending September 2022), Metro India posted a turnover of Rs. 7700 crore was sold.
Metro India, a wholly owned subsidiary of Metro AG, operates cash and carry stores in India primarily under the ‘Metro’ brand, with over 19 years of experience and a unique history of innovation in the BTOB segment.
The acquisition will add to Reliance Retail’s pan-India store presence of uniquely established multi-category large format stores and also strengthen its new commerce business.
MUMBAI, Reliance Retail Ventures Limited (‘RRVL’), a subsidiary of Reliance Industries Limited, today agreed to acquire 100% equity stake in Metro Cash & Carry India Private Limited (‘Metro India’) for Rs. 2,850 crore in total cash signed a definitive agreement, the transaction will be subject to closing adjustments.
Metro India started operations in India in 2003 as the first company to introduce a cash-and-carry business format in the country and currently operates 31 large format stores across 21 cities with around 3,500 employees. The multi-channel BTUB Cash & Carry wholesaler has reached over three million BTUB customers in India,
Of which one million customers make frequent purchases through its store network and eB2B applications. Metro India has established itself as a trusted partner among grocers and other small businesses and traders. In the financial year 2021/22 (financial year ending September 2022), Metro India has invested Rs. 7700 crore (€926 million) in sales, its best sales performance since entering the Indian market.
Through this acquisition, Reliance Retail will benefit from a large network of Metro India stores located in key areas in key cities, a large base of registered grocery customers and other institutional customers, a strong supplier network and the global best practices implemented by Metro in India.
The acquisition will further strengthen Reliance Retail’s physical store footprint and enhance its ability to better serve consumers and small businesses by leveraging synergies and efficiencies in supply chain networks, technology platforms and sourcing capabilities. will further value mutual relationships with all stakeholders in the retail ecosystem.
Speaking about the investment, Ms. Isha Ambani, Director, Reliance Retail Ventures Limited said, “The acquisition of Metro India is in line with our new business strategy of creating a unique model of shared prosperity through active collaboration with small businesses and enterprises.
Metro India is a leading and key player in the Indian BTUB market and has built a solid multi-channel platform offering a robust customer experience. We believe that Metro India’s healthy assets combined with a deep understanding of the Indian retail/grocery ecosystem will help us deliver a differentiated value proposition to small businesses in India.”
Metro AG CEO Dr. Stefan Gruebel said, “With Metro India we are selling a growing and profitable wholesale business in a very dynamic market at the right time. We are confident that in Reliance we have found the right partner who is willing and able to successfully lead Metro India into the future in this market environment.
This will benefit both our customers and our employees on the one hand, for whose loyalty and performance we are very grateful, and on the other hand will enable Metroni to focus on accelerating growth in the rest of the country’s portfolio.”
With the acquisition of Metro India, Reliance Retail will continue to build its nationwide reach to serve every strata of Indian society, from households, grocery stores and traders to HoReCa and small and medium enterprises and organizations, besides creating preferred partners and manufacturers, brand companies and global suppliers. will create opportunities for success.
The transaction is subject to certain regulatory and other customer closing conditions and is expected to be completed by March 2023.
