Saudi PIF in talks to buy stake in Indian-owned retail chain LuLu Group: report
15 Oct 2020
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The Public Investment Fund, Saudi Arabia’s sovereign investment fund, is looking to acquire a stake in Lulu Group, the Indian-owned retail chain. Yusuf Ali, 64, chairman of the LuLu Group, was ranked the richest expat in the UAE by Forbes magazine last year.
PIF is reported to be in talks to buy a minority stake of $7.4 billion (Rs55,800 crore) in Lulu Group – the supermarket chain founded by Malayali businessman MA Yusuf Ali.
In April this year, Abu Dhabi royal family bought a 20 per cent stake in Lulu Group International for $1.1 billion (Rs8,000 crore), except in its Indian and Qatar operations.
The Saudi fund, was also reported be in discussion with Reliance Industries (RIL) to pump in around $1 billion (about Rs7,500 crore) in Reliance Jio fibre assets
Mohammed bin Salman, the crown prince of Saudi Arabia, is the chairman of PIF which has an investment fund worth more than $360 billion (Rs26 lakh crore) and has invested in many big companies across geographies
While LuLu wants money to expand businesses in the new markets of Jordan, Iraq and Morocco, PIF is looking for new avenues of growth outside the Saudi Economy.
With operations in 22 countries, Lulu Group runs 194 hypermarkets, employs more than 55,000 people and serves more than 1.6 million customers daily.
Apart from retail, it has business interests in food processing and hospitality (Grand Hyatt and Marriott in India, Sheraton in Oman, and Great Scotland Yard, London).
