Asia’s richest man, Mukesh Ambani is all set to bring 7-Eleven Inc.’s convenience stores to India, further adding to his burgeoning retail empire in the world’s only billion-people-plus consumer market that’s open to foreign firms.
US-based 7-Eleven Convenience Stores In India
Reliance Retail Ventures (RRVL) is planning to launch the US-based 7-Eleven convenience stores in India according to its statement on October 7.
According to the retail firm, the first 7-Eleven store is set to open on October 9 in Andheri East, Mumbai.
After that, there will be a “rapid rollout” of the stores across key and commercial neighborhoods in Greater Mumbai.
In a statement, RRVL said, “Reliance Retail Ventures Limited (“RRVL”), through its wholly-owned subsidiary, 7-India Convenience Retail Limited, has entered into a master franchise agreement with 7-Eleven, Inc. (“SEI”) for the launch of 7-Eleven convenience stores in India,”.
Future Group’s Termination Of Agreement
Interestingly, this announcement comes days after Future Group’s announcement when it had terminated its agreement with 7-Eleven Inc, considering the inability to “meet the target of opening stores and payment of franchise fees”.
It seems that Reliance scooped the transaction after indebted Future Retail this week said that it ended the agreement it inked with 7-Eleven in 2019 by mutual consent after it was unable to open the brand’s stores or pay franchise fees.
Court Battle With Amazon.com
Presently, Mr. Ambani is locked in a bitter court battle with Amazon.com Inc. regarding the assets of Future Retail, which is one of the biggest brick-and-mortar chains in India.
After the news of the agreement with 7-Eleven Inc, Reliance Industries Shares has risen more than 1 percent.
“At Reliance, we pride ourselves in offering the best to our customers and we are proud to bring 7-Eleven, the globally trusted convenience store, to India. 7-Eleven is among the most iconic global brands in the convenience retail landscape. The new pathways we build together with SEI will offer Indian customers greater convenience and choices within their own neighborhoods,” said Isha Ambani, the Director RRVL.
The SEI President and Chief Executive Officer Joe DePinto said, “India is the second-largest country in the world and has one of the fastest-growing economies. It’s an ideal time for the largest convenience retailer in the world to make our entry into India”.
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