Morgan Stanley values retail biz of RIL at $29 bn

Wall Street powerhouse Morgan Stanley has pegged the net asset value of Reliance Retail at about $29 billion with increasing revenue contribution from the e-commerce venture Jio Mart over the next three years.

E-commerce is expected to account for 15% of core retail sales estimates by 2023, pegged at $19 billion, based on which the valuation has been calculated. The core retail sales here exclude connecting revenues (mobile recharges) and petro-retail, where it has sold a stake to British Petroleum. The development comes as Reliance Retail looks to bring in strategic and financial investors after the record $20-billion fund-raise by Mukesh Ambani for his telecom business.