Reliance Industries Ltd’s (RIL) retail arm has raised Rs. 9,555 crore from Saudi Arabia’s Public Investment Fund (PIF), taking total fundraise in last two months to Rs. 47,265 crore. PIF will take a 2.04 pecent stake in Reliance Retail Ventures Ltd (RRVL), the Indian firm said in a statement.

Reliance Retail Venture’s subsidiary Reliance Retail operates India’s largest retail business serving close to 640 million footfalls across its 12,000-odd stores nationwide in 7000 cities. This is the eighth investment by marquee global investors in Reliance Retail Ventures in less than two months and values RRVL at a pre-money equity value of Rs. 4.58 lakh crore (around $62.4 billion).

This is second investment by the Saudi Arabian sovereign wealth fund in an Ambani firm. It had previously picked up 2.32 percent stake in Jio Platforms, the digital and telecom arm of Reliance, for Rs. 11,367 crore.

The latest fund raising is part of RIL’s strategy to expand its retail business and take on rivals such as Amazon India and Walmart-owned Flipkart in India’s huge market. “This investment will further strengthen PIF’s presence in India’s dynamic economy and promising retail market segment,” the statement said. “The transaction is in line with PIF’s strategy as a leading global investor with a proven track-record of investing in innovative and transformative companies globally and develop strong partnerships with leading groups in their respective markets,” it added.

India’s retail sector is one of the largest in the world and accounts for over 10 percent of its gross domestic product which presents meaningful growth potential

India’s retail sector is one of the largest in the world and accounts for over 10 percent of its gross domestic product (GDP) which presents meaningful growth potential.

“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,” stated Mukesh Ambani, Chairman & MD of Reliance Industries. He further added “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”.

“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,” said Yasir Al-Rumayyan, Governor, PIF. “This investment further demonstrates PIF’s commitment to generating returns for the Saudi people and driving the economic diversification of Saudi Arabia,” he said.

Reliance Retail’s vision is to galvanise the Indian retail sector through its new commerce strategy, serving millions of customers by empowering millions of micro, small and medium enterprises (MSMEs), the Indian firm said. RRVL had previously raised Rs. 37,710 crore from leading global investors including Silver Lake, KKR, General Atlantic, Mubadala, GIC, TPG and Abu Dhabi Investment Authority (ADIA).