Shares of Future Group of companies declined up to 7 per cent on Wednesday, a day after the Delhi High Court dismissed the Group's petitions for termination of the Amazon arbitration. The Delhi High Court on Tuesday dismissed the pleas moved by Future Group companies seeking a direction to the arbitration tribunal, adjudicating Amazon's objections against Future Group's deal with Reliance, to take a decision on their application for terminating the arbitration proceedings before moving any further.
The stock of Future Enterprises Ltd tumbled 7.10 per cent, Future Retail Ltd tanked 6.29 per cent, Future Lifestyle Fashions Ltd fell 5.53 per cent, Future Supply Chain Solutions Ltd slipped 4.79 per cent and Future Consumer Ltd slumped 4.24 per cent on the BSE.
"Both the petitions are dismissed," said Justice Amit Bansal, who had reserved the order on January 3, on the petitions filed by Future Coupons Private Limited (FCPL) and Future Retail Limited (FRL). The judge said it was not for the court to interfere with the scheduling of the arbitration proceedings and no grounds for interference were made out in the present petitions.
Amazon and Future have been locked in a bitter legal tussle after the US e-commerce giant dragged the Future Group to arbitration at the Singapore International Arbitration Centre (SIAC) in October 2020, arguing that FRL had violated their contract by entering into a deal for the sale of its assets to billionaire Mukesh Ambani's Reliance Retail on a slump sale basis for Rs 24,500 crore.