Reliance Retail Ventures Limited is raising huge amounts of capital (just like its sister company Jio Platforms) to dominate the Indian retail market, and has recently announced an investment of $1.3 billion from the Public Investment Fund (PIF). This is one of the many high-profile fundraisers RRVL has conducted in the past few months, after acquiring investments from firms like KKR, GIC,TPG, General Atlantic, Mubadala, Silver Lake and many others.

Through this transaction, PIF will acquire a 2.04% equity stake in Reliance Retail Ventures Limited (RRVL), which will value India’s largest retail firm at approximately $62.4 billion. The deal will help PIF strengthen its presence in the ever-growing and promising Indian retail market.

“We at Reliance have a long-standing relationship with the Kingdom of Saudi Arabia. PIF is at the forefront of the economic transformation of the Kingdom of Saudi Arabia,” said Mukesh Ambani, Chairman and MD of Reliance Industries. He added “PIF is at the forefront of the economic transformation of the Kingdom of Saudi Arabia. I welcome PIF as a valued partner in Reliance Retail and look forward to their sustained support and guidance as we continue our ambitious journey to transform India’s retail sector for enriching the lives of 1.3 billion Indians and millions of small merchants.”

This investment is in line with PIF’s strategy and mandate to invest globally in innovative and transformative businesses that generate long-term commercial returns. India’s retail sector, which is one of the largest in the world, is a great platform for the Saudi Arabia-based fund to develop its portfolio.

The investment in RRVL follows the acquisition PIF made in Reliance’s Jio Platforms for a 2.32% stake.

His Excellency Yasir Al-Rumayyan, Governor of PIF, said, “We are pleased to be furthering our trusted partnership with Reliance Industries, the leading player in some of India’s most exciting sectors. This transaction demonstrates PIF’s commitment to investing and partnering for the long-term with innovative businesses around the world that lead and transform their sectors. This investment further demonstrates PIF’s commitment to generating returns for the Saudi people and driving the economic diversification of Saudi Arabia.”

RRVL is currently the largest physical retailer in India with over 10,000 physical stores in more than 6,500 cities and towns in the country. It also holds the largest market share in the Indian retail space after it bought a majority stake in Future Retail, the second-largest retailer in India, for $3.4 billion. However, the deal between RRVL and Future Group is in jeopardy right now as Amazon, a stakeholder in Future Coupons, has opposed the deal and successfully made an appeal in a Singapore court. Interestingly, Amazon is also expected to make an investment in Reliance Retail.