Put on notice to confirm capital infusion to avert a loan default, Amazon told Future Retail Ltd that Samara Capital remains interested in buying out the retailer’s businesses such as Big Bazaar for Rs. 7,000 crore.
Amazon stated that FRL should provide its financial details to Samara Capital for the private equity fund to conduct an expedited due diligence.
“We confirm that based on your letter dated January 21, 2022, Samara Capital has again reiterated to us that they remain interested and committed to lead and take forward the term sheet dated June 30, 2020, signed amongst Samara, FRL and the promoters of FRL, which contemplates a purchase consideration of (Rs 7,000 crore),” Amazon said in January 22 letter to independent directors of FRL.
Samara Capital, which had in June 2020 signed a non-binding term sheet to acquire FRL’s businesses for Rs 7,000 crore, couldn’t be independently reached to confirm the offer.
Amazon, in its letter, said: “The transaction envisaged in the Samara term sheet would ensure availability of funds in FRL at the earliest, through an asset sale and an equity infusion.”
(With inputs from PTI)
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Published on: Sunday, January 23, 2022, 05:49 PM IST