Reliance Retail, helmed by billionaire Mukesh Ambani, announced on Thursday that it had acquired sole control of Just Dial, a 25-year-old search and discovery service. Reliance Retail Ventures Ltd, a subsidiary of the company, announced a deal to buy a majority share in Just Dial for Rs 3,497 crore in July.
Reliance Industries shares touched their highest level since October 2020 on Thursday, closing only inches away from the critical Rs 2,300 milestone.
Since the end of July, the stock has increased roughly 13% while remaining beneath the radar. Much of those gains have been backed by investors who expect the stock to rise further, as evidenced by delivery volume data.
"RRVL has now gained sole control of Just Dial Ltd in compliance with the SEBI Takeover Regulations with effect from September 1, 2021," according to the statement. In a block sale on July 20, 2021, RRVL bought 1.31 crore equity shares of Just Dial for Rs 10 each at a price of Rs 1,020 per equity share from VSS Mani, the company's founder and CEO.
"The acquisition represents 15.63 percent of Just Dial's paid-up equity share capital post-preferential issue," according to the announcement.
"On September 1, 2021, Just Dial, pursuant to the preferential issue, allotted 2.12 crore equity shares of Rs 10 each at a price of Rs 1022.25 per equity share (including a premium of Rs 1012.25 per equity share) representing 25.35 percent of the post-preferential issue paid-up share capital of Just Dial to RRVL," Reliance Retail said in its press release.
Just Dial's post-preferential issue paid-up equity share capital was increased by 15.63 percent as a result of this transaction.
Just Dial's website, mobile apps, and phone line provide local search and e-commerce services. By dialling 8888888888, you may get information on everything from local plumbers to hotels and housekeeping services.
Just Dial had 30.4 million listings and 129.1 million quarterly unique users across its internet, mobile, App, and voice platforms as of March 31, 2021.
JD Mart, the company's B2B marketplace platform, was recently created with the goal of enabling millions of manufacturers, distributors, wholesalers, and retailers in India to become internet-ready in the post-COVID age, get new consumers, and sell their products online. The portal provides businesses with digital product catalogues and aspires to digitalize India's enterprises, particularly MSMEs, across all categories.