Social 2020 09 03T170844.590

Calling Amazon’s claims as ‘motivated by other considerations’, Future group said in an exchange filing, “It is a bit rich for such an argument to be made from someone who is not even a shareholder in Future Retail.”

Amazon had already initiated legal proceedings against the Future Group, accusing the latter of violating the non-compete clause in the contract between both parties, with the proposed sale of its retail, wholesale, logistics, and warehousing businesses to Reliance Retail for INR 24K Cr in August this year.

Amazon and Future Group’s tussle has taken a new turn as the former had asked Future Group to pay INR 1,431 Cr plus interest which is the same amount that the etailer had in Future Coupons.

“This contention raised by Amazon is entirely misconceived. In fact, if the two separate agreements were treated as the single integrated transaction by which Amazon had obtained an interest in and rights against Future Retail, then in 2019, when the agreements were executed there would have been a change in control of Future Retail in favour of Amazon, requiring it to make an open offer to Future Retail’s public shareholders in terms of the SEBI regulations. No such open offer was made,” the company said.

Meanwhile, Reliance also doesn’t plan to step back as it said it entered the transaction to acquire assets and business of Future Retail “under proper legal advice and the rights and obligations are fully enforceable under Indian law. RRVL intends to enforce its rights and complete the transaction in terms of the scheme and agreement with Future group without any delay.”


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