Future Retail Responds On Reports Of Share Swap Deal With Reliance

On Friday, Future Retail Ltd provided clarification on an Economic Times report dated 17 July that said that the company could merge into Reliance Retail and shareholders of Futures Group may get shares of RIL (Reliance Industries Limited) as both the parties are in the process of finalising a swap ratio for an all-stock deal to merge both the entities.

Future Retail called the report "purely speculative" and "without any verification" from the company.

"We wish to hereby inform that the Article is without any verification from the Company and there has been no such discussion by the Company with any of the lenders to negotiate any of the lending terms so far except seeking moratorium in terms of the RBI circular. We further clarify that the Company has not authorised any other party to carry out any such negotiation and accordingly there would not be any locus standi of any third party to approach lenders of the Company for any such discussion. Any such news item at this juncture is purely speculative and malicious in nature," the company said in a stock exchange filing.

"As already informed, we hereby reiterate and further inform that the management of the Company continues to explore and evaluate various opportunities or associations in the interest the Company, which when finally confirmed by the respective Boards, would be subject to requisite consents in accordance with applicable laws and other stakeholders," it added.

The ET report citing sources had said that Mukesh Ambani-led RIL was in talks with Future Group to buy at least three of its retail ventures.