Kishore Biyani-led Future Retail has said that e-commerce giant Amazon will pick up 49 per cent stake in Future Coupons Ltd.
That entity reportedly owns a 7.3 per cent interest in Future Retail. The companies did not disclose the value of the deal.
"We have been informed by Kishore Biyani on behalf of the existing shareholders forming part of the promoter group and Future Coupons Ltd (promoters) that they have entered into a share subscription agreement and a shareholders' agreement with Amazon.Com NV Investment Holdings LLC," Future Retail said in regulatory filings.
"Pursuant to these agreements, Amazon has agreed to make an equity investment in Future Coupons Ltd for acquiring a 49 per cent stake comprising both voting and non-voting shares."
Future Retail operates more than 1,500 stores in the country and owns several supermarket brands like Big Bazaar.
As part of the agreement, Amazon has been granted a call option. "This call option allows Amazon to acquire all or part of the promoters' shareholding in Future Retail and is exercisable between the third to tenth years in certain circumstances subject to applicable law."
Last year, global retailer Walmart bought a majority stake in Amazon India's e-commerce rival Flipkart. (ANI)