The agreement is subject to finalisation of definitive agreements and receipt of the requisite regulatory approvals.
Upon receipt of required clearances, Walmart would acquire Bharti’s stake in Bharti Walmart Private Limited, a joint venture between Bharti and Walmart, giving Walmart 100% ownership of the ‘best price modern wholesale’ cash and carry business.
Walmart plans to continue to grow this business while working with the government and interested stakeholders to create conditions that enable foreign direct investment in multi-brand retail.
As part of the proposed transactions, Bharti will acquire the compulsory convertible debentures (CCDs) held by Walmart in Cedar Support Services, a company owned and controlled by Bharti. Bharti Retail will continue to operate ‘easyday’ retail stores across all formats and invest in and grow the business.
Source: Wal-Mart Stores
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