Kishore Biyani-led Future group-listed companies informed the exchange on Saturday of a meeting of shareholders and creditors respectively to be held on April 20 and 21 to seek their approval for a Rs 24,713 crore deal with Reliance Retail.
Listed entities, including Future Enterprises Ltd, Future Retail Ltd, Future Consumer Ltd and Future Supply Chain, notify exchanges of dates and other procedures for virtual meetings of shareholders and creditors.
The additional notice added that meetings are held virtually via video conferencing and other audio-visual means.
According to an order approved by the Mumbai court of the National Companies Law Tribunal (NCLT) on February 28, a shareholders ’meeting will be held on April 20. A meeting to obtain creditor approval will be held the following day, April 21, 2022.
NCLT has given permission to convene a meeting of shareholders and creditors of the respective Future group companies to approve the merger scheme and transfer of business to Reliance Retail.
Future Enterprises Limited is the transferee company to Reliance Retail as part of the agreement. The 19 Future Group companies operating in retail, wholesale, logistics and warehousing assets will be consolidated into one entity, FEL, and then transferred to Reliance.
In August 2020, Future Group announced a Rs 24,713 crore agreement to transfer its retail, wholesale and logistics arms to Reliance Retail.
However, the deal could not be closed because its warring future partner, Amazon went to court for breach of several contracts. The future denies any wrongdoing.
After the deal got stuck in a series of litigation and arbitration, the long stop date for the scheme was extended for six months to September 30, 2022, by Reliance, FRL had informed last week.
This is the third extension of the timeline by Reliance Retail Ventures Ltd (RRVL), the retail arm of Reliance Industries, to complete a Rs 24,713 crore deal with the Future group.
Earlier, RRVL had extended the timeline from 30 September 2021 to 31 March 2022. The first stop extension date was 31 March 2021 to 30 September 2021.
Earlier in February, Reliance Retail had taken over the operations of at least 300 Future Retail stores and offered jobs to its employees after Kishore Biyani’s leadership group failed to make lease payments to landlords.
Later, Future Retail Ltd on March 16 said it was “committed” to reversing the acquisition of its store by Reliance Retail and would take all such actions as may be necessary to obtain a value adjustment.
The Kishore Biyani -led firm also said the Reliance Group’s action had come as a “surprise” to it.